Catena Media resolves upon a new directed issue of shares as a prepayment to the final payment for U.S. assets acquired in December 2016

The board of directors of Catena Media plc (“Catena Media” or the “Company”) has resolved upon a new directed issue of 1,440,454 shares at a subscription price of SEK 60.30 per share, as part of the prepayment of the third and final earn-out for acquired assets in the U.S., including brands such as www.playnj.com and www.playpennsylvania.com, and www.uspoker.com.

As announced on 14 December 2016, Catena Media acquired regulated affiliate assets in the regulated online casino and poker markets in the U.S. states of New Jersey and Nevada. In addition, the Company acquired a range of unregulated assets which were expected to generate revenues when additional U.S. states regulate online casino and poker.

As announced on 19 October 2018, following the development of additional states regulating online casino and poker, and the PASPA-ruling opening up for sports betting, Catena Media agreed with the sellers to amend the agreement and the earn-out structure, including a prepayment of the final earn-out, based on the first six (6) months of the third and final earn-out period.

The prepayment to the final earn-out amount is USD 13,047,315. The maximum amount of the total final earn-out correspond to USD 45 million.

The board of directors of the Company has, in accordance with the agreement and under the authorization in the articles of association of the Company, resolved upon a directed share issue of 1,440,454 shares to the seller of the assets which corresponds to seventy (70) percent of the abovementioned prepayment. The remaining part of such prepayment has been paid in cash.  

The subscription price amounts to SEK 60.30 per share, corresponding to the volume-weighted average price for Catena Media’s share on Nasdaq Stockholm during a period of 30 trading days up to and including 29 April 2019.   

Through the share issue, the number of ordinary shares in Catena Media increases by 1,440,454 shares from 56,989,144 shares to 58,429,598 shares and the share capital increases by EUR 2,160.68 from EUR 85,483.72 to EUR 87,644.40.

For further information, please contact:  
Per Hellberg, CEO, Catena Media plc
Phone: +46 709 10 74 10, E-mail: per.hellberg@catenamedia.com                 

Åsa Hillsten, Head of IR & Communications, Catena Media plc 
Phone: +46 700 81 81 17, E-mail: asa.hillsten@catenamedia.com

The information was submitted for publication, through the agency of the contact persons set out above, on 16 July 2019 at 17.40 CET.