A Scandinavian gaming firm, Cherry AB, has obtained substantial financial backing for its proposed purchase of internet gaming provider ComeOn Malta Ltd. The corporation revealed recently that it effectively floated €500 million in senior secured notes, maturing in July 2020. This bond offering encountered robust interest, drawing more than 70 financiers, largely from the Scandinavian area.
Cherry plans to utilize the funds to first procure a 49% share in ComeOn Malta Ltd, with the possibility of acquiring the remaining 51% subsequently. The determination on whether to execute this choice will be reached by Cherry between October 1st and December 31st, 2016. This action follows Cherry’s initial affirmation of its aim to buy ComeOn Malta Ltd earlier in May.
Fredrik Burvall, Chief Executive of Cherry, conveyed contentment with the successful bond issuance, remarking, “We are highly gratified to witness the strong enthusiasm from Scandinavian investors in our bond offering, notwithstanding the difficult market conditions. The successful access to the corporate bond market illustrates the faith investors hold in Cherry, the ComeOn acquisition, and our business approach. The capital will be allocated to fund the initial 49% purchase of ComeOn.”