04/12/2012 : BETSSON HIVES OFF NON-CORE COMPANY
Angler Gaming shares to be distributed to shareholders
In what appears to be an exercise to hive off non-core interests, Betsson directors are proposing that at the agm in May this year, shareholders should decide on the distribution of all of the shares in its wholly-owned subsidiary, Angler Gaming plc.
The board is suggesting that all shares in Malta-based Angler be distributed to the shareholders in Betsson on the basis of one share in Betsson (regardless of the class) will get one share in Angler.
The Board of Directors' proposal is dependent on the shares in Angler being listed on AktieTorget on the date of distribution.
The transfer of value to the shareholders amounts to SEK 28 million, which is approximately SEK 0.66 per share (or Euro 3.1 million, which is equivalent to approximately Euro 0.07 per share).
In a statement Thursday the board noted that the distribution of shares in Angler is in line with Betsson's technical and market-based focus.
Angler's operations will be based on technical solutions for which Betsson has decided to discontinue development work and on geographical markets lying outside Betsson's core areas.
Angler owns a gaming company which has a gaming licence in Curaçao. This company will, initially, target approximately 30 markets in South America, Africa and Europe, based on client bases and technological platforms acquired from Betsson.
The revenues for Betsson in these markets comprise less than 0.1 percent of Betsson's total revenues, whilst the number of registered clients comprises approximately 5 percent of Betsson's total number of registered clients. In conjunction with the distribution, the value of an independent Angler will be made apparent, which will benefit the shareholders, the statement claims, pointing out that Betsson will now be able to commit more development to finalising a group-wide technological platform, and to concentrate on its chosen focus markets.
Preparations are also underway to allow for shareholders with a holding amounting to a maximum of 200 shares to sell such shares, or to purchase shares up to a total of 200 shares, without incurring a commission fee, for a limited period of time after the initiation of trading, anticipated in July 2012.
In addition to its technological platforms and client bases, Angler has cash on hand of Euro 2.5 million, an amount that will be sufficient to cover costs until the company has a positive cash flow, which is expected to take place during 2014.
Malta-based industry veteran Michael Bennett (66) has been appointed CEO of Angler.