Tatts Group makes the decision to cut cords with Talarius
Published on by Becky M.
Within the world of online casino gaming in 2016 it appears to be all change, with various business deals getting done. The latest of these headline-making deals involves the sale of noted Tatts Group subsidiary Talarius to global gambling mega-power Novomatic for more than $200 million. Announced earlier today, it seems that the deal certainly isn’t a cut and dry affair for Tatts Group, as it will result in a $50 million accounting deficit for the financial year.
Struggling To Give Appropriate Support
It seems that while noteworthy, the Talarius operation had become somewhat of an anchor for Tatts Group, as it was struggling to give such subsidiary appropriate support. Looking at the numbers, Talarius excluded, the company believes that it will be able to generate a net profit of approximately $260 million before the year is out. Tapping out of the online slots business certainly represents somewhat of a risky move, but it is evident that it is not a move that is being taken lightly.
Novomatic Delighted
Speaking on the sale, Robbie Cooke (Tatts Group Chief Executive), “The sale of Talarius follows three years of intense effort to improve the performance of a business that struggled since its acquisition by Tatts Group back in 2008”. However, while the news of the sale appears negative on the Tatts Group side of things, Novomatic carry a very different view. Zane Mersich (Novomatic UK CEO) welcomed the deal by saying; “We are delighted with the addition of Talarius to our constantly expanding portfolio. The acquisition works for a number of reasons; it’s a great fit both in a geographical sense as well as strategically and represents another important milestone for the UK group. We are now active in every commercial aspect of the UK gaming industry and we will seek to build upon this foundation successfully in the years to come.”