Kambi co-founder Ström reduces stake to 17.5%

Ström’s Veralda Investment entity sold the shares, which represented 2.2% of the total holding in Kambi, at a price of SEK 462 per share, resulting in proceeds of approximately SEK312m (£27.1m/€30.9m/$37.4m).

Shares were sold through an accelerated book-building process in an offering to Swedish and international institutional investors.

Ström and Veralda now hold a total of 5,428,564 shares in Kambi, representing 17.5% of the provider’s ordinary share capital.

Veralda’s remaining ordinary shares will be subject to a customary lock-up from the date of the sale announcement (11 February) until 90 days after settlement of the placement.

“I am very pleased to see the overwhelming interest from both current and new shareholders wanting to invest in Kambi’s growth story,” said Ström, who is the chairman of Veralda.

“By divesting a small part of Veralda’s shares in Kambi, we have effected an elemental reallocation within our overall portfolio of investments.

“Veralda remains committed as a long-term major shareholder and intends to continue to support Kambi through our representation in the board of directors.”

The sale comes after Ström in December announced that he would not stand for re-election as non-executive chairman of the Kindred Group. Ström founded igaming operator Unibet, which since evolved into Kindred Group, from which the B2B arm – Kambi – then spun off.

Upon making the announcement, Ström said that he had promised himself to step back from business to spend more time on family, friends and leisure pursuits after turning 50.

Both Kambi and Kindred posted their full-year results for 2020 this week, with both businesses experiencing significant growth.

Kambi revealed revenue was up 27.5% to €117.7m, while comprehensive net profit jumped 272.9% year-on-year €17.5m.

Meanwhile, Kindred saw full-year revenue grow 23.9% to £1.13bn, while its profit reached £165.2m, 191.8% more than in 2019.