Mr Green acquires Danish online casino for €9m
Operator to make Denmark launch after snapping-up Dansk Underholdning, owner Bingosjov, Bingoslottet och and Balletbingo brands
Mr Green has moved into the Danish market after acquiring online casino business Dansk Underholdning in a cash deal worth €9m (£7.8m).
As part of the deal, the Stockholm-listed operator will take control of Dansk Underholdning brands Bingosjov, Bingoslottet och and Balletbingo.
Mr Green said it would launch its own casino site alongside Dansk Underholdning’s brands later this year.
Dansk Underholdning generated revenues of €3.9m (£3.4m) in 2016, an increase of 27% year-on-year.
The price tag was calculated using an EBITDA multiple of seven for the annualised earnings during the period May 2016 up to and including March 2017.
The €9m sum will be paid by April, when the deal is expected to be completed, while an additional sum of €650,000 (£560,000) will be triggered the following year should certain performance conditions be met.
Mr Green said the acquisition would have a positive impact on the company’s earnings per share and operating cash flow for the year.
“Since we are focusing on expanding to locally regulated markets, an acquisition in Denmark has been high on our list,” Per Norman, CEO of Mr Green & Co, said.
Peter Eugen Clausen, CEO and co-founder of Dansk Underholdning who will remain in his position, said the company was “excited” to become part of Mr Green.
“The deal is a perfect match as it combines Mr Green’s competences and economies of scale with the Danish presence and local knowledge of Dansk Underholdning,” added Clausen.
The deal is expected to be finalised in April 2017 subject to approval from the Danish Gambling Authority.
Mr Green is the latest operator to have moved into the growing Danish market, with Intertain granted two Danish licences for its Vera&John and InterCasino brands.
In addition, LeoVegas launched a casino-only site in the market and is set to introduce sports betting in the region later this year.