GiG announced the split in February 2023 as part of a strategic review. The review planned for GiG subsidiary Innovation Labs Ltd to be distributed to shareholders. This had the aim of splitting GiG into two publicly listed companies – GiG Media and GiG Platform.
Today (8 April) GiG confirmed that the Platform business – which currently operates as a subsidiary – will be divided between shareholders later in 2024.
Meanwhile, GiG Media will continue to exist under GiG’s operating structure, with GiG continuing to serve as its listed holding company.
GiG said its nomination committee had reviewed and evaluated two separate board formations to optimise business opportunities for both GiG Media and GiG Platform. However, it added that the GiG Platform board would not be elected during the 2024 annual general meeting, but will be elected at another time.
Nomination committee proposes Juroszek
The nomination committee has proposed three new members to GiG’s board of directors. These are Mateusz Juroszek, Nicholas Batram and Cristina Romero de Alba.
Juroszek is the former CEO of Polish sportsbook operator STS, which was acquired by Entain CEE last year for £750m (€847.5m/$946.3m). He is now chairman of STS’ supervisory board, following the appointment of Radim Haluza as CEO in December.
Today, the Juroszek family revealed that it acquired an additional 100,000 shares in GiG on 4 April. This brings the family’s total shares to 19,424,518, or 15.06%.
“As investors, we specialise in the igaming sector and we constantly strive to increase our shares in the most promising entities,” said Juroszek. “Therefore, we are constantly looking for opportunities to increase our shareholding in Gaming Innovation Group.”
“I believe that my experience both as an investor and as a manager of the largest bookmaker in Poland will contribute to even faster and more effective growth of GiG Media, a company dealing with the media and affiliate part of the current Gaming Innovation Group.”
The Juroszek family became the largest shareholders in GiG in July last year following the sale to Entain CEE, holding an 11.08% stake at the time.
Other nominations set to bolster board of directors
Romero de Alba serves as a partner at Loyra, a law firm based in Madrid. She is a member of the board of directors at Omnigame ApS and is also a business partner at Alantra Asset Management.
Batram held the role of group director of M&A and corporate development at Entain for eight years until December 2023. He was also the chair of Ladbrokes Coral Charitable Trust for over five years. He now runs a consulting business.
The nomination committee has also proposed Mikael Riese Harstad and Hesam Yazdi to be re-elected as members of the board.
Harstad has also been nominated to be elected as chairman of GiG’s board of directors. The final decisions on nominations will be made at GiG’s general meeting, which will take place on 22 May 2024.
What does the future hold for GiG Platform?
With GiG Platform being spun off to shareholders, it’s unclear whether it will eventually become an unlisted business. GiG has been contacted for comment.
GiG Platform consists of GiG’s technical online gaming platforms, such as Sportnco, which it acquired in April 2022. It also include GiG’s front-end development technology and managed services.
Richard Carter was named as CEO of GiG Platform in August last year. Previously, Carter was CEO of SBTech, where he oversaw its acquisition by DraftKings. He also led Bragg Gaming Group after departing from SBTech.
Just one month later, GiG announced the early departure of CEO Richard Brown. Brown had originally been expected to leave at the end of 2023.
GiG’s full-year 2023 results revealed that Platform generated €37.8m in revenue, a rise of 33.6% year-on-year. GiG said that this was bolstered by the acquisition of Sportnco.
Original article: https://igamingbusiness.com/strategy/gig-platform-business-to-be-distributed-to-shareholders/
