Edison Investment Research - 32Red PLC Kindred spirits

Report

Edison Investment Research

Victoria Pease

Kindred spirits

Kindred Group’s all cash offer for 32Red marks a meaningful and well-priced entry into the UK online casino market. With robust FY results and 20% growth in Q117 net gaming revenues, our standalone 32Red forecasts are largely unchanged, underpinned by continued margin expansion and high cash generation. Within an enlarged group, there should be additional revenue and cost synergies, suggesting upside to our numbers. Consideration is expected to be paid in mid/late May.

13/03/2017 7 EN

Underlying

32Red PLC

32Red is an online gaming operator. Co. operates an online casino, 32Red.com; as well as a poker room, 32RedPoker.com; an online bingo destination, 32RedBingo.com; and a sports betting brand, 32RedSport.

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GI000A0F56M0 Gibraltar

Provider

Edison Investment Research

Edison is an investment research and advisory company, with offices in North America, Europe, the Middle East and AsiaPac. The heart of Edison is our world renowned equity research platform and deep multi-sector expertise. At Edison Investment Research, our research is widely read by international investors, advisors and stakeholders. Edison Advisors leverages our core research platform to provide differentiated services including investor relations and strategic consulting.

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Analysts

Victoria Pease

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Acceptance of all-cash offer by Kindred Group

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Kindred spirits

Acceptance of all-cash offer by Kindred Group

Confident start to 2017

Games Workshop Group - A notable acceleration in Q225

Altron - Further margin expansion in H125

Sayona Mining - Catching up with majors

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