Betsson AB reduces 2017 dividend program in order to support corporate strategyby Joker 03.04.2017 0 comments
Issuing a market update, the governance of Stockholm Nasdaq-listed Betsson AB has informed that the company has changed its investor dividend policy ‘in order to increase the company’s financial capabilities’ in order to be active in the consolidated European online gambling sector.
The new dividend scheme will be applicable as of this year and will see Betsson governance reduce its shareholder dividend rewards on net corporate earnings from 75% to 50%. The company stated that it needed a dividend payout that supported its corporate growth strategy.
“The Board reasons that Betsson should have a dividend policy that is relevant to its growth profile. The advantages of size are increasing, not least following the introduction of local regulation of the gaming market. The new dividend policy gives Betsson increased capabilities to make acquisitions, which the Board believes will add long-term value to shareholders,” stated Pontus Lindwall, Chairman of the Board, Betsson AB on the firm’s Nasdaq update.
Betsson’s dividend reduction comes following last week’s announcement that the company had completed its £26 million acquisition of London AIM-listed interactive gaming operator NetPlay TV.
Updating corporate stakeholders, Betsson detailed that the firm would significantly increase its presence in the saturated UK betting market adding Jackpot247, Supercasino and Vernons to its European gaming multi-brand portfolio.