Cash-focused Gamesys sanctions £40m debt repayment 

Gamesys Group Plc has sanctioned a £40 million repayment of its GBP corporate debt to rebalance the firm’s accounts and allow for stronger cash generation. 

The approved transaction sees Gamesys lower its long-term GBP corporate debt by 15%, resulting in an outstanding debt reduction of 7% for its combined GBP and EURO tranches.

Gamesys governance underlined that the significant debt repayment forms part of the operator’s long-term strategy, delivering a better cash-generating enterprise for its investors. 

In its latest trading statement, Gamesys reported that its corporate net debt figure stood at £485 million, reflecting a net leverage ratio of 3x versus company EBITDA.

“As we’ve stated previously, a key strategic goal for the board is to have our long-term leverage ratio in-line with our peers, which is currently in the range of one to two times adjusted earnings before interest, tax, depreciation and amortisation,” said CFO Keith Laslop. “Our significant cash generation allows us to rapidly de-lever and today’s paydown is an important first step in attaining that goal.”

Gamesys is set to publish its full-year earnings results on Tuesday 17 March. Closing January trading, Gamesys issued a trading notice detailing confidence that the firm’s earnings would reflect the upper end of market expectations.

Check Also

BGC pledges to maintain safer gambling momentum

BGC initiates ‘Take Time to Think’ campaign to replace ‘When the Fun Stops, Stop’

The Betting and Gaming Council (BGC) has replaced its long-running ‘When the Fun Stops, Stop’ …

Summit Partners

Optimove raises $75m investment led by Summit Partners

CRM marketing specialist Optimove has announced a $75 million investment led by global growth investor …

MPs McVey and Phillips criticised for betting industry links

Conservative Party MPs and husband and wife Philip Davies and Esther McVey have been criticized …