French Gambling Giant FDJ Makes 2.45 Billion Euro Offer to Acquire Kindred

Kindred Board Recommends Accepting the Offer

• French gambling company La Française des Jeux (FDJ) has offered to acquire online gambling company Kindred for 2.45 billion euros, aiming to become the second-largest operator in the European gambling sector.
• Kindred confirmed FDJ’s offer, recommending its shareholders accept the 27.951 million SEK (2.45 billion euros) bid, which is 24.4% higher than the stock’s closing price on January 19th. The acceptance period begins on February 20 and ends on November 19.

Major Shareholders Support the Acquisition

• Five major shareholders, holding a combined 27.9% of Kindred’s shares, have committed to supporting FDJ’s offer. These shareholders include Corvex Management, Premier Investissement, Eminence Capital, Veralda Investment, and Nordea.

Kindred’s Challenges

• Kindred has faced difficulties, such as being barred from offering online gambling in Norway and the decision to withdraw from the North American market, leading to rumors of a potential sale.

Conditions of the Acquisition

• FDJ’s offer is subject to various conditions, including a 90% acceptance rate from Kindred shareholders and the absence of events significantly weakening Kindred’s financial situation.

FDJ’s Expansion Plans

• FDJ aims to diversify its offering by acquiring Kindred, believing that the two companies complement each other strategically and will provide greater benefits for shareholders and stakeholders.

The potential acquisition of Kindred by FDJ marks a significant development in the European gambling industry, with shareholders expected to make their decision in the coming months.