Catena puts European business on sale
Today (August 10) Catena Media Plc reported that it has subjected its whole European business to a strategic review.
This decision comes after a corporate review of Catena’s activities in the European media, launched on May 20th, in order to acknowledge and develop efficiency.
The affiliated media publishing house, registered in Stockholm, is going to consider all variants for its European activities, consisting of online sports betting and casino.
Few countries like the United Kingdom, Sweden, the Netherlands and Germany were named as markets where Catena’s European media business had to deal with challenges impacting casino vertical’s expansion.
“The review of the expanded strategy is aimed to acknowledge the success of Catena Media’s operations in Europe and increase the company’s attention to the opportunities for greater profits around the region.”
highlighted the statement from Catena.
The European problems were affected in Catena’s trading report for the 1st quarter of this year, in which, in spite of reaching record-breaking profit of 45 million euros, the brand’s Earnings Before Interest, Taxes, Depreciation, and Amortization stayed at 25 million euros.
The rejection of outcomes in Europe contrasted with Catena to keep quicken business expansion around North America, where its US media portfolio accounted for 65% of group profit amounting 29.5 million euros.
By reviewing all European assets, Catena aims to deliver annual savings of 5 million euros in operating and capital costs and is going to see the brand begin a formal consultation process for roles with potential impact on the United Kingdom and Malta.
“Catena Media keeps evaluating the best results for the brand and its shareholders in relation to these companies and to be involved in dialogue with 3rd parties interested in buying assets. There is a possibility that the discussions might lead to one or more rejections of investments. affiliation assets being bought before the middle of 2018, has seen challenges during the past years.”
explained the group.