Catena Media streamlines ops with sale of Italian assets

Lea Hogg November 21, 2023

Catena Media has finalized the sale of its Italy-facing online sports betting and casino assets, amounting to €19.8 million.

Strategic Exit from the Italian Market

The strategic decision marks the group’s exit from the Italian market, as the company continues to reevaluate its global portfolio and focus on key growth areas.

The proceeds from the sale will be utilized primarily to repay debt, contributing to a reduction in Catena Media’s leverage ratio. The transaction involves a structured payment plan, with €12.8 million to be received in Q4 2023, €3.5 million in Q4 2024, and another €3.5 million in Q2 2025. Simultaneously, an impairment charge of €2.7 million will be incurred, reflecting the strategic shift and financial recalibration.

Focus on the Americas

The sale of Italian assets signifies the conclusion of Catena Media’s comprehensive strategic review, initiated in May 2022.

Over the past 18 months, the company has divested several brands, including the flagship brand AskGamblers and UK and Australian sports betting brands. With total divestments expected to raise approximately €76m, Catena Media is now positioned to channel its efforts and capital into stable, regulated markets, particularly in the Americas.

Transformation into a streamlined entity

CEO Michael Daly expressed satisfaction with the outcome, emphasizing that the divestments align with Catena Media’s commitment to stable, regulated markets for sustained growth.

The completion of the strategic transition not only improves the company’s financial position but also allows for a concentrated effort in capturing long-term growth opportunities. Despite a 28 percent year-on-year revenue decrease in Q3 and a subsequent stock dip, Catena Media’s strategic realignment positions the company for a focused and prosperous future in the evolving iGaming landscape.

Catena Media, a prominent player in the iGaming industry, has undergone a strategic transformation with the sale of its Italian assets, marking a pivotal moment in the company’s journey. The strategic exit from the Italian market aligns with Catena Media’s vision of becoming a streamlined entity with a clear focus on stable, regulated markets, particularly in the Americas. The completion of the strategic review and the subsequent divestments underline Catena Media’s commitment to financial strength and sustained growth in the rapidly evolving iGaming sector.

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