Cherry applies to delist from Nasdaq Stockholm
Cherry has applied to delist from Nasdaq Stockholm as the consortium looking to acquire the business moved a step closer to acquiring 100% of shares in the Swedish gaming group.
The consortium, European Entertainment Intressenter Bidco (EE Intressenter) has now acquired more than 90% of the shares in the operator, initiating a compulsory offer for the remaining shares, under the Swedish Companies Act. As a result it is moving forward with plans to delist the business, having requested approval for the move from Nasdaq Stockholm.
EE Intressenter launched a $1bn (£763.1m/€883.5m) takeover bid for Cherry in December last year, with the understanding that the consortium would acquire all series A and series B shares in the group at a price of SEK87 per share.
In February, Cherry then set out plans to take the company private under the consortium's ownership.It will announce its final day of trading when the move is approved.
EE Intressenter comprises UK private equity company Bridgepoint Europe, holding companies Prunius Avium and Audere Est Facere, as well as the Klein Group – headed by Cherry chairman and founder Morten Klein - Audere Est Facere, Betsson CEO Pontus Lindwall and executives Berkay Reyhan and Murat Can Yilanlioglu. Reyhan and Yilanlioglu are directors of London-based marketing business Hindigo Marketing, while Yilanlioglu is also a director of Highlight Games, a studio in which Cherry holds a 60.4% stake.
In 2018, Cherry's consolidated revenue increased by 44% to SEK 3,236m in the year to December 31, with organic growth at 34% compared to 27% in 2017. Revenue was up 49% during Q4, the period when EE Intressenter launched its takeover bid.