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Ellex Advises Kindred on Relax Gaming Acquisition

Ellex Advises Kindred on Relax Gaming Acquisition

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Ellex Raidla and Swedish Cirio Law Firm have advised the Kindred Group on its acquisition of outstanding shares in Relax Gaming. Roschier Attorneys advised the shareholders of Relax Holding Limited.

According to Ellex, Kindred invested in Relax Gaming in 2013 with the new deal allowing Kindred to acquire the remaining 66.6 percent of the outstanding shares. It further informed that the transaction values the company at up to EUR 320 million on a cash and debt-free basis with a total value of the outstanding shares of approximately EUR 295 million. Kindred will pay an initial consideration, settled in cash upon completion, of approximately EUR 80 million (on a cash and debt-free basis). In addition to the initial consideration, the maximum earn-out payments amount to EUR 113 million and may become payable in 2022 and 2023, subject to Relax Gaming achieving certain earnings thresholds. The transaction will be financed through Kindred’s existing cash and credit facilities.

“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 offering, putting Kindred in a significantly better position to achieve our long-term strategy to increase our focus on product differentiation and customer experience,” commented Kindred Group CEO Henrik Tjarnstrom.

The Ellex team was led by Partner Sven Papp and included Counsel Jaanus Ikla, Senior Associates Gerda Liik, Hanna Pahk, and Rauno Klemm, and Associate Merlin Liis-Toomela.