Cherry Buys License Then Buys the Whole Company
Posted: April 19, 2013
Updated: October 4, 2017
Why buy milk, when you can have the cow?
Swedish online gambling operator Cherry AB has made it public that it has recently purchased the majority of Maltese developer Yggdrasil Gaming’s shares. This comes less than three months after they actually became the start-up’s first licensee, introducing instant RNG lottery games to Cherry’s players.
Licensed under Swedish gambling laws, Cherry has casino sites set up for each of the three Scandinavian countries.
The gaming operator’s current online portfolio also includes Norwegian, Danish and Swedish poker rooms, video slots, and various classic table games.
Apparently satisfied with the product, Cherry proceeded to buy the store.
The Yggdrasil Gaming transaction – conducted through subsidiary PlayCherry Malta – is significant for Cherry because Yggdrasil provides a further variety of keno and scratchcard games. This will assist Cherry’s efforts to add more titles to its current mobile casino games.
Cherry CEO Emil Sunvisson sounded upbeat about the business prospects. “We are very impressed with the product portfolio Yggdrasil Gaming in a short time has developed, which will strengthen Cherry’s online offering,” said Sunvisson.
He went on to add that “Yggdrasil Gaming will continue to operate as an independent company by the founder Fredrik Elmqvist. As a financial investor we hope that this investment will generate good returns for our shareholders.”
While Cherry did not declare the exact purchasing price, the company stated that this deal will exert a ‘neutral impact’ on this year’s result.