Potential Kindred Sale Could Expedite Company’s US Exit

Written By Derek Helling on January 23, 2024
merger acquisition binder on paper

Unibet online casino players in New Jersey and Pennsylvania already knew their days were numbered on the platform. That number could be smaller now.

A potential buyer has surfaced for Unibet operator Kindred, potentially hastening the already-planned cessation of Kindred’s operations in North America. Whenever that occurs, it will affect more than just Unibet online casino’s availability.

Kindred may have found a buyer

According to a news release from the FDJ Group (La Française des Jeux), that organization has issued a cash offer for Kindred’s entire business, sitting at about $12.44 (around SEK 130) per share. The release states that the offer represents a 24% premium compared to the stock’s closing price on Jan. 19, 2024.

Kindred is traded in Stockholm. The Wall Street Journal reports that the offer amounts to a total of around $2.5 billion. The FDJ Group is France’s lottery provider and licensed operator of physical sportsbooks in France.

Kindred’s business grew substantially across Europe for over two decades before entering the United States. The combination of the FDJ Group and Kindred could form one of the strongest gambling companies on the continent.

On the North American continent, that news is largely immaterial. The biggest takeaway is that some gambling licensees working with Kindred might have to find new partners in that vein more quickly.

Kindred’s exit could happen more quickly with FDJ Group takeover

While nothing is official about the FDJ Group acquisition yet, there could be some ramifications for Kindred’s US business. Admittedly, however, the impact could be small. Kindred was already working on shutting down its North American operations before the FDJ Group made an offer.

That will not only include the shuttering of Unibet online casinos in New Jersey and Pennsylvania but also the cessation of contracts with brick-and-mortar casinos in the US as well. Several brick-and-mortar casinos in the US use Kindred software or have contracts with Kindred to provide services.

Originally, Kindred shared that it hoped to have its North American operations shuttered by June 2024. It’s unclear how the potential FDJ Group takeover will affect that timeline. At the same time, it could create an incentive for Kindred to wrap up that action sooner.

Either way, Unibet online casino’s days are numbered. It’s just a matter of how large that number is.

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Derek Helling

Derek Helling is the assistant managing editor of PlayUSA. Helling focuses on breaking news, including finance, regulation, and technology in the gaming industry. Helling completed his journalism degree at the University of Iowa and resides in Chicago

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