Swedish online casino operator Mr Green And Company AB has announced the successful completion of its deal to purchase Danish rival Dansk Underholdning Limited for an initial consideration of $9.79 million.
Stockholm-listed Mr Green And Company AB explained that the agreement, which was first announced in February and was subject to the approval of the Danish Gambling Authority, has seen it acquire an online gambling license for Denmark and that it now intends to launch its services into this Scandinavian nation before the end of the year.
Mr Green And Company AB operates the online gambling domains MrGreen.com and Garbo.com and already held licenses from authorities in the nations of the United Kingdom, Malta and Italy while Dansk Underholdning Limited is responsible for brands such as BingoSlottet.dk, BingoSjov.dk and BalletBingo.dk.
Established in 2007, Mr Green And Company AB declared that the initial purchase price could rise by a further $706,700 provided that “certain conditions have been met” while it expects the entire acquisition to have “a positive effect” on its annual earnings per share and operating cash flow.
“This is a part of our strategy of expanding to new geographic markets,” read a statement from Per Norman, Chief Executive Officer for Mr Green And Company. “Since our focus is to expand in locally regulated markets, an establishment in Denmark is a natural step.”
Mr Green And Company AB stated that Dansk Underholdning Limited recorded annual gross revenues of approximately $4.2 million in 2016, which was a rise of 27% year-on-year, while Peter Eugen Clausen is to continue to serve as its new acquisition’s Chief Executive Officer.
“We are excited to become part of Mr Green [And Company AB], which in my opinion is one of the most skilled operators in the industry,” read a February statement from Clausen. “The deal is a perfect match as it combines Mr Green [And Company AB]’s competences and economies of scale with the Danish presence and local knowledge of Dansk Underholdning Limited. We look forward introducing Mr Green [And Company AB] in Denmark.”