French lottery giant La Française des Jeux (FDJ) announced that it has brought forward the Kindred acquisition’s closing date to October 2nd, after having obtained all necessary regulatory approvals from the French Competition Authority to complete the transaction.
Following the €2.45 billion ($2.72 billion) deal’s close, FDJ will become the second-largest European gambling operator by revenue and market cap. The completion of the offer remains subject to other conditions, one of which is to secure acceptance from 90% of Kindred’s shareholders.
So far, five shareholders representing 26.72% of total capital have made a commitment to sell to FDJ in the deal. These include Corvex Management LP, Premier Investissement SAS, Eminence Capital, Nordea, and Veralda.
FDJ will announce the result of the offer on or around October 3rd, 2024, at the close of the market. If the offer is completed, settlement and delivery for Kindred shareholders who tender their SDRs will take place on or around October 11th, 2024.
On January 22nd, FDJ announced a recommended public offer to the holders of SDRs in Kindred to tender all their SDRs in Kindred at a price of SEK 130 in cash per SDR. An offer document relating to the offer was published on February 19th and supplements to the offer document were made public April 25th and July 25th.
FDJ then announced that it had obtained final approval from the French Competition Authority to complete the offer. The definitive clearance of the acquisition of Kindred by the French Competition Authority was the last regulatory condition required for the completion of the offer.
Thus, having obtained all necessary regulatory clearances, approvals, and decisions, FDJ stated that it has "decided to bring forward the expiry of the acceptance period of the offer to 17.00 CEST on 2nd October 2024 (from the initial date of 19th November 2024)."
Kindred opted to launch a requested review of strategic alternatives in April 2023.
The company said it explored several options, including operational initiatives and a full sale or merger. The board said it received several offers following this process, with the €2.45 billion offered by FDJ proving to be the most attractive.
Kindred CEO Nils Andén said at the time: “By partnering with FDJ, I am convinced that Kindred will be able to accelerate the implementation of long-term strategic projects, continue its growth in its main markets, and offer its customers a trusted source of entertainment.”
While France's competition regulator, l’Autorité de la Concurrence, approved the acquisition this month, it cautioned FDJ against leveraging its monopoly to promote Kindred’s products. The competition authority flagged the risk that cross-selling Kindred's online betting and gaming products to FDJ's monopoly lottery customers could increase player risks.
https://www.yogonet.com/international/news/2024/09/19/79218-fdj-brings-forward-closing-date-for-kindred-acquisition-to-october-2nd