Kindred Acquires Remaining Shares of Relax Gaming
Kindred Group has recently announced that they have purchased the 66.6 percent of remaining shares of Relax Gaming. They have been invested in Relax since 2013, and this deal allows them to take complete ownership. Kindred valued the company as a whole at €320 million or $379 million. The equity value of the remaining shares was approximately €295 million or $349 million.
The acquisition is a part of Kindred’s overall strategy looking toward the future. They want to focus more on improving customer experience and products. Owning their longtime partner allows them to have complete control over product differentiation and development.
Henrik Tjarnstrom, Kindred Group’s CEO, says, “Through this acquisition, we add a rapidly growing and profitable B2B business with a world-class product portfolio, giving us greater control over our casino, poker and bingo offerings.”
This deal is good for Relax Gaming as well. Relax’s co-founder and chairman Patrik Osteraker commented, “Joining Kindred Group comes as a natural next step in our long-standing cooperation with Kindred across all our product verticals. Kindred’s strengthened presence will allow Relax Gaming to further invest in and accelerate the expansion of our B2B offering across the globe.”
Osteraker went on to say that Relax will be able to continue operations as a B2B company and maintain its overall business strategy. He says their “continued independence is a key element of the transaction.” Osteraker will continue to serve on the Relax Gaming board.
The transaction is on track to be completed by the fourth quarter of 2021, pending regulatory approvals.
One of the key components of this acquisition is a mutual agreement that Relax should maintain its independence as much as possible following the merge. They will keep a separate board of directors, and management teams will stay independent. Upper management will have seven percent of shares diluted to give them a true stake in the company.
The Kindred and Relax strategies dovetail perfectly. Kindred wants to support Relax’s mission to cement itself as a leading provider of B2B solutions. The more successful Relax is in this, the more Kindred will be able to curate a better portfolio and further its own goals for product differentiation and better user experience.
About Relax Gaming
Relax Gaming is a B2B online gaming software supplier. They have been around since 2010, and they have expanded steadily through Europe. Relax develops online casino games, including slots, poker and online bingo. Their software is supported by an open distribution platform that allows for third-party aggregation.
Their games library is not as extensive as some other brands, but they provide unique content. Some of their most popular slots include Mega Masks, Money Train 2 and Chip Spin. Their poker platform is well-known, and they also have a dedicated server to distribute indie games. In the past, they have partnered with names like Big Time Gaming, Kalamba and Fantasma.
Since 2013, Relax has been providing exclusive content to Kindred. However, in order to maintain brand integrity, part of the buyout deal is that Relax remains autonomous under the Kindred umbrella. This will allow Relax to continue to develop a broader B2B customer base with the financial support of Kindred.
About Kindred Group
Kindred Group was founded in 1997. They have a very long and well-respected history within the online gambling industry. The group currently consists of nine brands, including Unibet, 32Red, Otto Kasino, Maria Casino and Kolikkopelit.
Kindred Group has a reach of more than 30 million gamers, and they show no signs of slowing their expansion. They are heavily focused on providing fair, fun and unforgettable experiences to players. Because of this mission, they are always searching for ways to enhance play for gamers.
Kindred has earned its reputation as a leading online gambling operator. They ensure that every brand in their portfolio meets and exceeds regulatory standards. They also believe in setting an industry example for implementing player safety practices.
Kindred’s commitment to excellence is one of the many reasons that they have been able to experience global expansion. They have over 1,600 employees that span across over 60 nationalities. This kind of diversity allows them to deliver truly unique and fantastic gambling experiences for their entire player base.