Finance

Kambi shares halted following 30% plunge

Provider moves to reassure investors following yesterday’s DraftKings/SBTech deal

Trading in Kambi shares were halted yesterday after news emerged that US partner DraftKings is buying its own sports betting platform in the form of SBTech.

Kambi shares dropped 30% before being halted yesterday, with the firm forced to issue a statement to ease investor concern.

“Kambi has today been made aware of DraftKings’ proposed deal,” Kambi CEO Kristian Nylén said.

“It is of course not up to me to comment on the strategic choices of DraftKings, but in this context I would like to emphasise that Kambi has successfully built a strong position in the US and our partner network consists of high-quality, visionary operators, both in the US and across the world.

Nylén said the combination of a competitor with an operator could strengthen the appeal of Kambi in future sales processes.

Nylén also said Kambi and DraftKings had recently signed a renewed deal and no notice of termination had yet been given.

“Should that type of information be given, we will inform the market,” said Nylén.

The DraftKings/SBTech deal is expected to close in H12020, with the combined firm listing in the US.

Finance | Kambi

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