Evolution might be taken off the stock exchange because of an ambitious investor
The investment company Candle Lake Limited, associated with the American billionaire Kenneth Dart, has increased its stake in the online casino solutions developer Evolution to 30.02%. According to Swedish law, it now has four weeks either to make a mandatory takeover offer for Evolution or to reduce its shareholding below 30%.
If Candle Lake Limited decides to take over Evolution, the latter will have to delist and leave the stock exchange.
This situation is unfolding during a challenging period for Evolution. A few years ago, the company was accused of operating in prohibited jurisdictions, leading to legal proceedings. Additionally, a recent deal to acquire Galaxy Gaming fell through due to delays in obtaining approval from U.S. regulators.
Currently, Evolution shares are trading at 741.6 Swedish kronor (76.2 dollars) each, which is 53% cheaper than their peak in September 2021.