Major online firm LeoVegas has sold off one of its assets to a gaming rival.
LeoVegas, based in Sweden, has sold its live gaming asset Authentic Gaming to the Genting Group for a fee of €15 million.
The firm announced the sale on Tuesday and said that it had gone through on a debt-free basis. They also said that they would gain a return of over 100% on the sale of its live gaming component.
LeoVegas made their investment in Authentic through LeoVentures, their special unit that focuses on investing in new gaming firms, with the aim of boosting their value.
Speaking about the Authentic sale, the LeoVegas CEO, Gustaf Hagman LeoVegas, said that the sale had brought in a big return on their investment and showed their ability to build and grow companies:
“This is a milestone for LeoVegas. The time is now right to sell the enterprise to the industry giant Genting, which is the perfect buyer to take Authentic Gaming to the next level.”
For Genting, the Authentic sale shows how important they consider live gaming to be in the modern betting sector. It also comes at a time when Genting is reshaping its digital strategy.
The Managing Director of Genting Online, Jeremy Taylor said that Authentic Gaming’s technology would help them to provide a great online experience for players.
But as the Genting online presence grows, the Genting Group has had setbacks in other sectors. This month it was suggested that the Genting Highlands Malaysia theme park near the Resorts World Genting casino in Kuala Lumpur could overrun. The $700 million site is set to employ over 1,000 workers and will be fully opened by the third quarter of 2020, however it was originally supposed to open back in 2016.