Allwyn Poised to Earn Over €150 Million from Casino Asset Sales
Allwyn International has revealed significant developments in its asset strategy, particularly through the divestment of its land-based casino properties in Germany and Australia. Additionally, the company has made strides by securing the remaining minority stake in Stoiximan, an operator focusing on the Greek and Cypriot markets.
The sale of its casino assets is projected to yield around €105 million ($122 million) in gross revenue. Currently, the casino operations in both Germany and Australia are categorized under Allwyn’s Austria segment.
In Germany, Allwyn is offloading 10 casinos located in Lower Saxony, generating gross proceeds of €67.7 million. This transaction, finalized on July 1, included a €16.2 million dividend along with €52.5 million from the sale itself.
On July 11, the company accepted a bid for the Reef Hotel Casino in Australia, a property it partially owns through the Reef Casino Trust (RCT), holding a 42% stake. The expected proceeds from this deal are estimated at around €54 million, anticipated to close in the first half of 2024.
Allwyn Expands Its Influence in Stoiximan
On July 18, Allwyn secured the remaining 15.5% minority interest in Stoiximan, a move negotiated through its OPAP subsidiary. Valued at €191.6 million on a cash-free and debt-free basis, this acquisition aligns with Allwyn’s long-term strategy.
OPAP initially acquired a 36.8% stake in Stoiximan back in September 2018 and has progressively increased its ownership over the past seven years. Upon completion of this transaction, OPAP will own 100% of Stoiximan, subject to regulatory approval in Cyprus. This acquisition will be financed through OPAP’s available cash resources.
Allwyn articulated that this move would escalate OPAP’s stake in Stoiximan, emphasizing its commitment to enhancing existing operations and leveraging growth opportunities in the dynamic online sports betting and iGaming sectors.
Strengthening Digital Presence Amid Growth
Allwyn’s strategic shift toward online-focused operations is evidenced by the notable digital growth reported in the first quarter of 2025. The overall group revenue increased by 6% to €2.24 billion, primarily driven by digital segments, which surged 15% year-over-year, accounting for 39% of the total gross gaming revenue.
Despite transitioning towards a stronger digital strategy, Allwyn maintains a robust retail footprint, particularly in the UK, where it now oversees the National Lottery. The complete ownership of Stoiximan is expected to further bolster expansion within the Greek and Cypriot markets, which saw an 8% revenue increase to €616.9 million in Q1.
Allwyn’s Austria segment, where the outgoing casinos are recorded, also experienced a 6% revenue boost, totaling €423.6 million. Despite observing a decline in video lottery terminal and casino performance, the growth in numerical lotteries and iGaming has compensated for this.
As for its Q2 outlook, Allwyn indicated that performance remains steady, with no significant impact on demand, despite broader macroeconomic uncertainties. The company noted that the allure of its products tends to endure during periods of economic fluctuation given their affordability and the loyalty of its customer base.
Recent Financial Maneuvers
Recently, Allwyn entered into a new €2.15 billion senior facilities agreement with a consortium of international banks. This funding will be allocated toward refinancing existing debt, advancing growth initiatives, and general corporate needs.
Concurrent with this, Allwyn announced a €500 million offering of senior secured notes, aiming to fully redeem a previous offering due in 2027. This financial maneuver is indicative of Allwyn’s proactive approach in securing its fiscal health while pursuing expansion strategies.