Glitnor Group’s buyout of KaFe Rocks has been cancelled nine months after it was first announced, in what has been described as an ‘amicable’ decision.
Confirming the news this morning, Glitnor Group stated that both parties had recognised current market conditions as being unfavourable, and after ‘much deliberation’ decided to call off the acquisition.
Despite this, Glitnor will remain a ‘significant shareholder’ in KaFe Rocks Group and asserts that it will maintain a ‘close, professional and friendly relationship’ with the company.
The firm added: “Both parties would like to stress that the recent decision for KaFe Rocks and its CEO, Simon Pilkington, to part ways, has no relation to this news.”
Pilkington’s five year tenure at the affiliate company concluded earlier this month, with Pilkington ending his two year career as CEO, having been KaFe Rocks’Head of English Language Markets.
Under his leadership, KaFe Rocks launched its time2play brand, which the CEO stated operates with a USP centred around Trust in an interview with SBC Media, and also navigated the COVID-19 pandemic.
In his final year as CEO, Pilkington oversaw the negotiation and agreement of takeover terms with Glitnor Group, with a transaction – at an undisclosed sum – announced in February.
“Whilst there have been strategic changes recently, I want everyone to know that this decision to part ways is something very separate, and I truly believe in the changes that we’ve made acting as the catalyst for long-term future success and growth,” Pilkington commented as he announced his departure.
A Malta-based igaming affiliate, KaFe Rocks integration into Glitnor Group’s operations would have substantially boosted the latter’s B2C standing, which includes the Lucky Casino and Gambola casino brands.
KaFe Rocks operates a portfolio of ‘user centric’ brands, including the aforementioned time2play.com, alongside USCasinos.com and Online-slot.co.uk.
Speaking at the time, David Flynn, Glitnor Group CEO, said: “Glitnor is not shy about its ambitions to become a leading igaming group and the acquisition of KaFe Rocks and our move into the lead generation space is evidence of this.
“In KaFe Rocks, we have an established business being run by an incredibly talented team that owns and operates a network of successful, reputable affiliate assets that will drive growth for the wider group.”
Now that the acquisition has been called off, at least temporarily, KaFe Rocks and time2play will continue to be managed by its founding members and leadership team with a ‘focus on the growth and development of the business’.