Catena Media will be initiating a cost reduction programme of €3.8m (£3.28m/$4.19m) to €4.2m to “optimise group operations” following recent divestments.
The cost reductions are in addition to the €2.8m decrease in the annual cost base directly attributable to the sale of its UK and Australian businesses to Moneta Communications for €6.0m.
It is expected that about 90% of the cost reductions in this programme will be realised by the end of 2023. The affiliate expects to achieve this through “streamlining support functions” from its European operations.
Strategic review
This forms part of its strategic review from May 2022. This was to consider selling off certain assets to focus on the North American market.
The strategic review was expanded from certain assets to cover all European online betting and casino businesses. After this, Carnegie Investment Bank was appointed as financial advisor to assist in potential sales.
This news comes on the back of the announcement that Per Widerström has stepped down as a non-executive director. The move came after he accepted a new role as CEO of 888 Holdings.