Operator group La Française des Jeux (FDJ) is to move forward with its plan to create a European heavyweight after meeting the requirements to acquire Kindred Group.
The £2.1bn deal, announced in January, was dependent on a number of conditions, including FDJ being in control of more than 90 per cent of Kindred’s share capital.
On Thursday, at the end of the offer period, 195.7m Kindred Swedish Depository Receipts (SDRs) worth 90.66 per cent of its capital were tendered.
FDJ had previously acquired 2.4m Kindred SDRs from Veralda, worth 1.11 per cent of the Unibet and 32Red owner’s share capital.
“I am delighted to announce today the acquisition of Kindred, a leading European player in the competitive online betting and gaming sector,” said FDJ Group CEO and chairwoman, Stéphane Pallez.
“Kindred has strong brands, recognised technological excellence and an attractive growth and profitability profile, all of which will bolster FDJ’s strengths.”
The new combined group will generate around 26 per cent of its revenue internationally and its online gaming range open to competition will account for about 27 per cent of business.
FDJ also revealed the four distinct business units it hopes to have in place “as soon as possible” in 2025.
Competitive online betting & gaming, accounting for 30 per cent of the group’s operations, will feature Kindred on the B2C side and Relax Gaming on the B2B side, as well as FDJ’s online sports betting and poker and ZEturf, which it acquired in October last year.
Its lottery and point-of-sale operations in France will still make up the majority – 64 per cent – of FDJ’s operations.
International lottery, consisting of Premier Lotteries Ireland and lottery B2B operations, will be worth four per cent of FDJ’s operations.
Payments and services will make up the remaining two per cent of operations.
“The two groups also share high standards for responsible gaming and a business model that combines performance and responsibility,” Pallez added.
“This acquisition creates a new European champion that intends to pursue its strategy of sustainable and profitable growth for the benefit of all its stakeholders.”
FDJ has extended its offer of enabling Kindred shareholders who have not tendered their shares to do so on unchanged terms – SEK130 per SDR – until October 18 at 5pm CEST.
Settlement and delivery will take place from October 29.
