global stars group updates long midterm operating directivesby Joker 27.03.2019 0 comments
The executive team of Toronto TSX-listed The Stars Group Inc has today disclosed the firm’s medium-to-long term directives, having significantly enlarged its global identity acquiring Sky Betting & Gaming (Sky Bet) and the Australian assets of CrownBet and William Hill Australia.
Today in New York, the Stars Group hosted its ‘Investor Day’, outlining core potential growth opportunities, medium-term financial planning, leveraged targets and enlarged corporate cost-synergies.
Opening the Stars Group’s investors day, Group Chief Executive Rafi Ashkenazi stated –
“The Stars Group is now a diversified global market leader with what we believe to be leading product offerings and an expansive geographic reach. Building on this strong foundation, we are introducing medium-term growth targets as we continue to progress with our vision to be the world’s favourite iGaming destination,”
Updating stakeholders, on the firm’s long-term strategy and financial planning, Ashkenazi and Executive Chairman Dave Gadhi, detailed the following 3-to-5 year operating directives:-
Supporting the firms 3-5 year strategy, the Stars Group governance details that the TSX firm will benefit from Sky Bet ‘incremental recurring cost synergies beginning in 2020’.
In its update governance expects that Sky Bet UK operational efficiencies along could deliver the company $30 million in corporate cost savings, contributing significantly to its $100 million per year target.
For 2019, the Stars Group has reserved approximately $84 million in expected implementation costs.
“Looking ahead, we will strive to enhance our leadership positions within the high-growth markets in which we operate, as well as leverage the full suite of assets and capabilities across our businesses to provide what we believe to be the most exciting and engaging gaming experience to our customers.
With powerful structural growth drivers in our industry, including a broad trend towards locally licensed online gaming, we believe that as one of the most licensed online gaming operators in the world, with proprietary technology that supports a highly scalable business model with limited CapEx, we are well-positioned to capitalize on this trend. We are focused on using our competitive advantages to continue to deliver strong organic growth and steady free cash flow generation to support our accelerated deleveraging plans while driving long-term shareholder value,” concluded Rafi Ashkenazi.