|
20.12.2005 The Swedish public gambling company Cherryforetagen announced some serious restructuring moves this week that will split the company into three independently listed entities. The board of directors determined that by restructuring into three operational branches, development could proceed more rapidly than as one single group. The Board opined that the restructuring gives added transparency to the different businesses, thereby giving shareholders the possibility to choose their desired risk level and area of operations.
Because the Internet-based operations will grow more quickly and with a higher profitability in their own companies, Cherry Casino will receive more investor attention, says CEO Pontus Lingwall.
The three new firms are likely to be:
* Betsson - presently Cherry Online with online gaming via Betsson.com and online casinos.
* Net Entertainment - development and sales/licensing of games and gaming systems software.
* Cherry Casino - traditional land casino games and gaming machines, mainly in Sweden, Denmark and on cruise ships.
Cherry, soon to be known as Betsson, is hoping to complete the split during 2006.
Cherry's currently expected revenues for 2005 are SEK 435 million. The company is hopeful that Betsson (currently Cherry Online) will at least double its turnover during 2006.
|
