AUCKLAND: SkyCity Entertainment Group Limited has entered into an unconditional agreement to sell its entire shareholding of around 10% in Gaming Innovation Group Inc (GiG), a European-based online gaming platform provider and media services operator.
The net proceeds of the sale are approximately NZ$55 million after brokerage and legal costs.
SkyCity intends to use the proceeds of the sale to pay down debt as part of its ongoing prudent approach to capital management. SkyCity continues to have a valuable relationship with GiG through its involvement with the SkyCity Online Casino (operated from Malta).
However, SkyCity has decided to divest its shareholding in GiG as it is non-core to its ongoing operations, and is now not considered strategically necessary for SkyCity. SkyCity acquired its shareholding in GiG in April 2022 for €25 million (approximately NZ$40 million at that time).