Evolution Completes Acquisition of NetEnt, Shuts Down NetEnt Live
As of the beginning of December, Evolution Gaming holds roughly 96.8% of the shares and 98.6% of the votes in NetEnt. The two companies now operate as a group under the name Evolution, but it will offer products under four brands, Evolution, Ezugi, NetEnt, and Red Tiger.
Evolution has begun the task of reorganizing and integrating NetEnt, which means that Evolution’s management will be responsible for the operation of NetEnt and that there will be a number of changes to the company’s structure.
They will be streamlining the slot development section of the business and shutting down NetEnt’s live dealer games. This will also have an effect on the business support units in the company.
In a press release Evolution said, “All measures are in line with the synergy goals which were previously communicated, in connection with the announcement of the offer, with annual cost savings of EUR 30 million compared to NetEnt's and Evolution's combined cost base as of the first quarter of 2020.”
The current CEO of NetEnt, Therese Hillman, will continue to work on the integration of the two companies but she is set to leave in the first quarter of next year.
Towards the end of last month, Evolution announced that the public offer to purchase all NetEnt shares was complete and declared unconditional. The acceptance period was extended to November 30, and after the period closed, the offer was accepted, completing the acquisition.
The deal was backed by 93.9% of the total number of shares and 97.3% of the total number of votes in NetEnt by November 23. In the final week of November, investors holding 7.1 million series A shares and 7.1 million series B shares backed the offer, giving Evolution total holding of 237.7 million NetEnt shares.
Evolution has now begun the compulsory buy-out procedure required by Swedish law in order to acquire the shares not submitted in the offer. Furthermore, NetEnt has applied for its shares to be delisted from Nasdaq Stockholm, and the last day of trading will be published in the near future.