Netent offices in Malta and Stockholm will see 120 full time staff made redundant mainly in the marketing and production arm of the business in a move they will cost 2.1M the initial acquisition of red tiger gaming was an all-cash deal with an initial enterprise value of GBP 200 million plus a possible additional amount of maximum GBP 23 million in 2022.
The restructuring is a strategic move that will see all parts of the business strengthen its competitiveness and increase value creation.
Therese Hillman, group CEO of NetEnt, said: “We are now entering the next phase of the integration with Red Tiger, whose sellers are also becoming shareholders of NetEnt.
“The integration will unleash the full potential of our shared capabilities, create significant efficiency gains in games development and strengthen our position as the market leader in online casino.”
Very bad timing for the staff that were made redundant today as it will be a lot harder to find work over the next few weeks but the good news for NetEnt and the online casino industry is they have not seen any negative effects to the business from the current Covid-19 pandemic. Shares increased a whopping 16.5% of the back of the news this morning Tuesday 24th March 2020