Cherry close to sealing "major acquisition"
Deal expected to be announced early next week
Cherry AB is in the “final stages of a major acquisition” which is expected to be finalised “early next week”, the firm announced this afternoon.
The firm halted trading on Stockholm’s AktieTorget exchange on Monday this week, after its share prices soared 25% from SEK125 to SEK166, over the past two weeks.
A statement issued by the firm today said: “Cherry AB is in the final stages negotiation of a major acquisition.
“Cherry will return with more information as soon as more details can be presented, which is expected early next week. The trading halt will last until further notice.
“Any further comments will not be given for the moment.”
In mid-March the chief executive of Cherry’s online division, Jonas W?hlander,told EGR that the company had filed an application for a licence with Great Britain’s Gambling Commission and expected the process to be closed in “about a months’ time”.
Following Cherry AB’s annual results in late February, group CEO Fredrik Burvall said the firm was open to acquiring brands which were already established in the UK, as part of its entrance strategy.
For the 2015 financial year, Cherry reported a 91% year-on-year growth in online gaming revenues, with the near doubling of revenues enough to see the Swedish gaming operator return to profit.