Aristocrat Leisure (ASX:ALL) announced the sale of its subsidiary, Plarium Global Limited, to Modern Times Group (MTG). The transaction is valued at up to US$820 million, including a fixed consideration of US$620 million and a contingent consideration of US$200 million. This move aligns with Aristocrat's focus on its core gaming sectors.
Aristocrat Leisure has decided to divest its subsidiary, Plarium, to Modern Times Group for up to US$820 million. This transaction includes a fixed payment of US$620 million and an additional contingent payment of up to US$200 million based on future financial performance. The divestment is part of Aristocrat's strategic review, initiated in May 2024, to sharpen its focus on regulated gaming and social casino opportunities. While the sale will be dilutive to NPATA in FY25, it is expected to result in a gain on sale. The proceeds are intended to strengthen Aristocrat's revenue growth and margins. The transaction is expected to be finalized in the first half of 2025, subject to regulatory approvals. Aristocrat is committed to enhancing its core gaming operations and continues its strategic review of other assets like Big Fish Games, focusing on its successful social casino assets.
The sale of Plarium is a strategic decision that aligns with our focus on our core strengths in regulated gaming and social casino markets. We are pleased with the successful integration of Plarium’s capabilities into Aristocrat’s operations and look forward to leveraging the proceeds to support our long-term growth strategy.