RNS Number : 4003Q JPJ Group PLC
19 February 2019
Sale of Mandalay to 888
LONDON (UK), 19 February 2019 - JPJ Group plc (LSE: JPJ) (the "Group"), a leading global online bingo-led operator, announces today that it has signed a deﬁni*ve agreement for the sale of its Mandalay opera*ng business to a subsidiary of 888 Holdings plc, for total cash consideration of £18 million.
The divestment of Mandalay will enable the Group to concentrate on a more focussed brand strategy in the U.K. through Jackpotjoy, the market's leading bingo-led brand and op*mise the Group's return on its marke*ng investment.
Mandalay consists of the real money opera*ng results of various online bingo brands, including Costa Bingo, and all its bingo oﬀerings operate on 888 Holding's Dragonﬁsh pla;orm. Mandalay generated approximately £11 million of revenue and approximately £3.7 million of proﬁt before tax a?ributable to the assets in the twelve months to 31
Comple*on of the Mandalay sale is expected to take place by the end of March 2019, following the conclusion of an employee consultation process.
On comple*on of the Mandalay sale,£12 million of the cash considera*on will be paid to the Group with the remaining £6 million expected to be paid in September 2019.
(1)Based on unaudited management accounts.
About JPJ Group plc
JPJ Group plc is the parent company of an online gaming group that provides entertainment to a global consumer base through its subsidiaries. JPJ Group plc currently oﬀers bingo and casino games to its customers through its subsidiaries using the InterCasino (www.intercasino.com), Vera&John (www.verajohn.com), Jackpotjoy (www.jackpotjoy.com), Starspins (www.starspins.com) and Botemania (www.botemania.es) brands. For more information about JPJ Group plc, please visit www.jpjgroup.com.
JPJ Group plc
Jason Holden, Director of Investor Relations +44 (0) 203 907 4032 email@example.com
Amanda Brewer, Vice President of Corporate Communications +1 416 720 8150 firstname.lastname@example.org
James Leviton Andy Parnis +44 (0) 207 251 3801
Cautionary Note Regarding Forward-Looking Information
This release contains certain informa on and statements that may cons tute 'forward-looking informa on' within the meaning of applicable laws, including Canadian securi es laws. O$en, but not always, forward-looking informa on can be iden ﬁed by the use of words such as 'plans', 'expects', 'es mates', 'projects', 'predicts', 'targets', 'seeks', 'intends', 'an cipates', 'believes', or 'is conﬁdent of' or the nega ve of such words or other varia ons of or synonyms for such words, or state that certain ac ons, events or results 'may', 'could', 'would', 'should', 'might' or 'will' be taken, occur or be achieved. Forward-looking informa on involves known and unknown risks, uncertain es and other factors which may cause actual results, performance, achievements or developments to be materially diﬀerent from those an cipated by the Group and expressed or implied by the forward-looking statements. Forward-looking informa on contained in this release includes, but is not limited to, statements with respect to the Group's future ﬁnancial performance, the future prospects of the Group's business and opera ons, the expected comple on date of the Mandalay sale (and the resul ng concentra on on a more focussed brand strategy in the U.K. and op misa on of the Group's return on its marke ng investment) and ming of the cash considera on payments (including the £6 million deferred considera on). These statements reﬂect the Group's current expecta ons related to future events or its future results, performance, achievements or developments, and future trends aﬀec ng the Group. All such statements, other than statements of historical fact, are forward-looking informa on. Such forward-looking informa on is based on a number of assump ons which may prove to be incorrect, including, but not limited to, the ability of the Group to secure, maintain and comply with all required licences, permits and cer ﬁca ons to carry out business in the jurisdic ons in which it currently operates or intends to operate; governmental and regulatory ac ons, including the introduc on of new laws or changes in laws (or the interpreta on thereof)
related to online gaming; general business, economic and market condi ons (including market growth rates and the withdrawal of the UK from the
European Union); the Group opera ng in foreign jurisdic ons; the compe ve environment; the expected growth of the online gaming market and poten al new market opportuni es; an cipated and unan cipated costs; the protec on of the Group's intellectual property rights; the Group's con nued rela onship with the Gamesys group and other third par es; the ability of the Group to service its debt obliga ons; and the ability of the
Group to obtain addi onal ﬁnancing, if, as and when required. Such statements could also be materially aﬀected by risks rela ng to the lack of available and qualiﬁed personnel or management; stock market vola lity; taxa on policies; compe on; foreign opera ons; the Group's limited opera ng history and the Group's ability to access suﬃcient capital from internal or external sources. However, whether actual results and developments will conform with the expecta ons and predic ons contained in the forward-looking informa on is subject to a number of risks and uncertain es, many of which are beyond the Group's control, and the eﬀects of which can be diﬃcult to predict, including that the assump ons outlined above may not be accurate. For a descrip on of addi onal risk factors, see Schedule 'A' a9ached to JPJ Group plc's most recently ﬁled annual informa on form. Although the Group has a9empted to iden fy important factors that could cause actual results, performance, achievements or developments to diﬀer materially from those described in forward-looking statements, there may be other factors that cause actual results, performance, achievements or developments not to be as an cipated, es mated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results, performance, achievement or developments are likely to diﬀer, and may diﬀer materially, from those expressed in or implied by the forward-looking informa on contained in this release. Accordingly, readers should not place undue reliance on forward-looking informa on. While subsequent events and developments may cause the Group's expecta ons, es mates and views to change, the Group does not undertake or assume any obliga on to update or revise any forward-looking informa on, except as required by applicable securi es laws. The forward-looking informa on contained in this release should not be relied upon as represen ng the
Group's expecta ons, es mates and views as of any date subsequent to the date of this release. The forward-looking informa on contained in this release is expressly qualiﬁed by this cau onary statement. Investors should not place undue reliance on forward-looking statements as the plans, intentions or expectations upon which they are based might not occur.
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