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KKCG TAKES FULL OWNERSHIP OF SAZKA
Thursday October 18, 2012 : KKCG TAKES FULL OWNERSHIP OF SAZKA
Czech lottery and betting firm stabilised - expansion next
Czech financial group PPF AS will sell its 50 percent stake in lottery and betting firm Sazka AS to SÁZKOVÁ KANCELÁ, a.s. (KKCG) for an undisclosed consideration.
Sazka AS was sold through a bidding process, facilitated by the Company's insolvency administrator Josef Cupka, in September last year to PPF AS and KKCG.
The duo submitted a joint bid of 3.810 billion Czech Koruna and were, at the time, two of Sazka's largest creditors.
"From the PPF's point of view, this is the right investment decision. In one year, we have managed to renew confidence in Sazka which again controls over 90 percent of the Czech lottery market so PPF's stake can be sold at a very good price," said PPF investment director and executive board member, Martin Stefunko.
"For Sazka, time for expansion now comes after its stabilisation. Sazka is a very strong platform for long-term development for us, not only in the lottery area but also in other retail businesses on the Czech market," added KKCG manager and board member, Pavel Saroch.
Sazka's outright acquisition by KKCG was received with interest by industry observers as KKCG's main business interests lie in Oil and Gas.
The transaction can only be formalised once it receives approval from the Office for Protection of Economic Competition.
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