Catena Media receives offers for AskGamblers and other “global brands”
Stockholm-listed affiliate launches strategic review into parts of its business after “interest from third parties to acquire certain assets”
Catena Media has revealed that it has been approached by unnamed parties with an interest in acquiring its AskGamblers brand as well as other “global brands” and assets in its financial trading segment.
“Catena Media is currently noticing a strategic interest from third parties to acquire certain assets,” the firm announced in a press release.
As a result, the Malta-based affiliate has stated that it is currently undergoing a strategic review into certain parts of the company to ascertain what is the “best outcomes for Catena and its shareholders in the long term”.
However, Catena was quick to quash the prospect of immediate action, saying: “Catena Media wishes to emphasise that no decision has been taken with respect to the strategic review, and that it may conclude that the best alternative is to make no changes in the near term.”
Launched in 2006, AskGamblers is one of the largest casino affiliate portals and, according to traffic tracking site Similarweb, attracted 459,000 total visits in April 2022.
News of the possible offloading of assets was welcomed by investors as Catena’s shares immediately jumped 15% and are currently up 12% on the day at SEK41.40 (£3.34).
Any sale would be departure for a business which has achieved scale over the years through a ravenous appetite for M&A.
Two of its most recent purchases include the $39.6m shelled out for US sports betting affiliate Lineups in May 2021 and the $45m deal to acquire i15 Media last September.
However, CEO Michael Daly recently spoke to EGR in an interview in which he highlighted what he sees as the “out of control” valuations of start-ups – and potential targets – in the affiliate space.
Earlier this week, Catena Media reported record Q1 revenue of €45.2m, largely driven by growth of its sports segment which grew 77%.
On 2022 ambitions, Daly said: “After our solid start to 2022, we are well-positioned for a busy year ahead and to keep delivering on our financial targets.
“We are investing strongly in personnel to prepare for future market launches and growth. Our people-focused culture and innovative strength equip us to continue capturing the outstanding opportunity in North America while remaining adaptable and responsive to market conditions at global level.”