France’s FDJ Group Completes €2.5 Billion Acquisition of Kindred Group
Published: October 6, 2024 | Author: Ron Clarke
In a major move shaking up the online gambling industry, La Française des Jeux (FDJ), France’s national lottery operator has successfully completed its acquisition of Kindred Group, one of the leading online betting and gaming operators in Europe. This €2.5 billion deal positions FDJ as a European gaming giant, expanding its digital footprint and strengthening its presence in key European markets.
FDJ announced that by the end of the tender offer period on October 2, it had secured 90.66% of Kindred’s capital, with an additional 1.11% directly purchased from Veralda, Kindred’s largest shareholder, owned by the company’s founder. With the required 90% threshold reached, FDJ is set to complete the acquisition, by buying out the remaining shares on Nasdaq Stockholm.
For shareholders who missed the original offer, FDJ has extended the deadline until October 18, allowing them to tender their shares at an offer price of SEK 130 per Swedish Depository Receipt (SDR).
This acquisition marks a significant milestone for FDJ, pushing the group into the top three gaming operators in Europe. FDJ’s international revenue will rise from 4% to 26%, while its online revenue is expected to grow from 12% to 34% of the combined group’s business. This will give FDJ a stronger foothold in markets such as the UK, France, Sweden, Belgium, and the Netherlands, where Kindred operates well-known brands like Unibet and 32Red.
Kindred’s advanced digital expertise will also play a crucial role in FDJ’s strategic push toward digitalization, increasing its presence in the online sports betting, casino, and poker markets.
This move is seen as an important step in FDJ’s ongoing strategy to diversify its portfolio, balancing traditional monopoly activities like lotteries in France and Ireland with a growing online betting and gaming business across Europe. The combined group will operate exclusively in regulated markets, such as the UK, Sweden, the Netherlands, and France, ensuring they adhere to local gaming regulations.
The deal is also expected to significantly enhance FDJ’s earnings, with both revenue and EBITDA projected to grow steadily in the coming years.
We at Casin.com will continue to closely monitor the European and global markets for any developments in the gaming and online gambling industry. Stay tuned for updates on key acquisitions shaping the future of online betting and gaming.
