LONDON, UK: XLMedia (AIM: XLM), a leading global digital media company, announced the sale of three of the Group’s European Gaming domains and associated websites, Casino.se, Casino.gr, and Casino.pt for a total upfront cash consideration of $4.0 million, representing a 4.7 times multiple on revenue.
In the year ended 31 December 2022, the assets relating to the Sale generated revenues of $840,000, 6% of the Group’s European Casino revenue, with a gross profit of approximately $750,000. Total European Casino revenues in 2022 were $14.3 million.
The Group will continue to operate its Gaming business in the Swedish and other European markets. At present, the performance of the Group’s European Gaming business is tracking marginally ahead of management expectations.
The cash generated from the Sale of these assets to Beach Services provides the Group with additional working capital and funds further investment to drive the expansion of XLMedia’s North American Sports and Gaming footprint and advance its EU portfolio.
The Board is pleased to be able to realise further substantial value from the Sale, having recently also completed the sale of the loss-making Personal Finance business for $2.05 million.