Catena Media, a leading iGaming affiliate, announced that it has completed the divestment of its Italian sports and casino assets in two deals totaling EUR 19.8 million ($21.7 million). The company, which just posted its Q3 results, has been restructuring its business for over a year now.
One of the transactions has now been closed, with the other set to close in the following weeks. The aggregate purchase prices for the sales are paid in three tranches. Catena Media secured EUR 12.8 million ($14 million) in October and November 2023 and is set to receive two tranches of 3.5 million ($3.8 million) in Q4 2024 and Q2 2025.
According to Catena Media, the money will help it repay debt and reduce its leverage ratio. The transactions will also give rise to an impairment charge of EUR 2.7 million ($3 million).
The divestment of the aforementioned assets is in line with Catena Media’s business review and restructuring process. The company is now reevaluating its priorities as it seeks to focus on more stable and more profitable markets.
According to Michael Daly, Catena Media’s chief executive officer, the Catena Media team is pleased to have “secured a positive outcome” for its Italian assets and believes they are in good hands.
The sales further sharpen our strategic focus and strengthen our financial position, allowing us to streamline operations further and redeploy capital into our core areas as we double down on capturing expanding opportunities in regulated markets in the Americas.
Michael Daly, CEO, Catena Media In the meantime, Catena Media announced that it has completed the strategic review of its business. Initiated in May 2022, the review sought to help the company increase its operational focus on the American markets.
The divestments saw the company sell its AskGamblers division, Italian, UK and Australian assets and a number of other assets. Once it fully receives the proceeds, Catena Media will have secured a whopping EUR 76 million ($83.2 million). The money will be used to help the company repay its debts and reinforce its balance sheet.
CEO Daly commented on the conclusion of the review, saying:
The divestments we have made have improved our financial position significantly, and now that the streamlining process is complete we can devote our full resources and attention to capturing the long-term growth opportunity we see ahead.
Michael Daly, CEO, Catena Media In other news, Catena Media recently joined five other affiliates to form the Responsible Gambling Affiliate Association.
