Finansinspektionen, Sweden’s Financial Supervisory Authority, has approved the prospectus of Gaming Innovation Group (GiG) that will list SEK 450 million (€45m) of senior corporate bonds on the Stockholm Nasdaq on 8 December.
Last May, GiG governance disclosed that it would pursue issuing a three-year SEK 450 million senior-secured bond placement with a maximum borrowing capacity of SEK 550 million (€55m).
GiG secured its senior bond placement terms on 11 June, priced at a 3-month floating rate of STIBOR (Stockholm’s Interbank charge) of 8.5% per year, with the bond’s maturity dates commencing in June 2024.
The prospectus outlined that the bond placement will be guaranteed by GiG Plc and its subsidiaries of Innovation Labs Limited, iGamingCloud Limited, MT Securetrade Limited, GiG Central Services Limited, Rebel Penguin Aps and iGaming Cloud NV.
Ahead of the 8 December listing, GiG has filed an application for its former Frankfurt Börse debts to be transferred to the Stockholm Nasdaq.
“In addition to a solid operating cash flow, external funding is facilitating acquisitions of affiliate markets, paying off existing working capital facilities and for general corporate purposes” – the prospectus outlined.
Q3 trading saw GiG disclose that its Media Services unit had achieved its most successful quarter generating peak revenues of €11.5 million and an EBITDA of €5 million.
Media growth helped GiG offset the stagnant performance of its Platform unit, which continues to be restructured as a sole B2B technology provider.
GiG will support its bond placement, with a new financial operating strategy in which the company will prioritise a “conservative approach to amortisation on acquired affiliates and capitalised expenses” and “reduce non-marketing related OPEX to achieve bottom-line earnings”.