Everysport Group divests a media portfolio valued at SEK 45 million
Everysport Group AB (publ) ("Everysport") has today entered into an agreement with Better Collective A/S to divest a portfolio consisting of the brands and media sites SvenskaFans, Hockeysverige, FotbollDirekt and Innebandymagazinet (together the "Media Portfolio"). The transaction is carried out at a valuation of the Media portfolio of approximately SEK 45 million (EUR 3.8 million). The total purchase price, after deduction of certain working capital items, amounts to approximately SEK 44 million (EUR 3.7 million) and is paid in cash in three installments. On an annual basis, the Media Portfolio corresponds to around 15 percent of Everysport’s net sales. The transaction strengthens the Group's financial position and enables increased investments and international expansion of the remaining brands in Everysport's portfolio, including Elite Prospects.
"We are proud to have developed the websites into some of Sweden's largest news media in their respective sports. In addition, we have successfully commercialized the brands and in all cases also turned a negative financial development into good profitability. Today's deal confirms Everysport's digital innovation and execution capabilities and is a logical next step for both the brands and the Group. We are convinced that Better Collective is a strong and long-term owner who will continue to develop the brands in a meritorious way. We wish both them and the employees all the best", says Hannes Andersson, CEO, Everysport Group.
“An important pillar in Better Collective’s strategy is to acquire leading national sports media with strong brands and a loyal and returning following. That’s why these sports media brands fit perfectly into our portfolio. We expect the media to deliver additional growth for our business in Sweden, adding to our leading market position within affiliation and expansion towards general advertisement. We are very excited to bring onboard one of the strongest sports news teams in Sweden and make them part of Better Collective. With our vision to become the leading digital sports media group, we want to be the go-to partner for any brand wanting to gain exposure and engagement among sport fans. This acquisition takes us one step further on that journey”, says Jesper Søgaard, CEO, Better Collective.
Purchase price and completion of the transaction
The transaction is carried out at a valuation of the Media portfolio of approximately SEK 45 million (EUR 3.8 million). After deduction of certain working capital items, the total purchase price amounts to approximately SEK 44 million (EUR 3.7 million), which is paid in cash in three installments. Initially, approximately 22.5 MSEK (1.9 MEUR) will be paid, after six months approximately 10.6 MSEK (0.9 MEUR) and after 12 months approximately 10.6 MSEK (0.9 MEUR) will be paid. The closing of the transaction, which is subject to customary conditions, is expected to August 31, 2023.
Background and rationale
The assets covered in the transaction have under Everysport's ownership developed into some of Sweden's largest news media in their respective sports. The Group has successfully commercialized the websites and built an associated strong advertising and subscription business of approximately 8,000 subscribers linked to the brands in the Media Portfolio. The transaction strengthens Everysport Group's financial position and enables increased international investments in the hockey site Elite Prospects and Everysport's remaining portfolio, which after today's transaction includes 25 brands in sports and media.
SvenskaFans
SvenskaFans is Sweden's largest online sports fan community with over 750 active contributors. The content covers everything from top soccer and ice hockey leagues to local series across Sweden, as well as smaller sports such as bandy and basketball. Since its launch in 2000, SvenskaFans has grown a large loyal following through user-generated content such as game reports, interviews, chronicles, podcasts and the popular YouTube channel FanTV. SvenskaFans presents the yearly award Guldskölden to Sweden's most acclaimed sports journalists. The website has around half a million unique visitors per month.
Hockeysverige
Hockeysverige is the largest ice hockey news website in Sweden featuring news and reports from the world of hockey. Hockeysverige has a strong presence in social media with influential writers. The website has around 1 million unique visitors per month.
Fotbolldirekt
Fotbolldirekt is a leading Swedish soccer media outlet covering news and reports from national as well as international soccer. The website has around 0.4 million unique visitors per month.
Innebandymagazinet
Innebandymagazinet is the biggest floorball news site covering the Swedish leagues and national teams. The website has around 0.2 million unique visitors per month.
For more information, please contact:
Hannes Andersson, CEO, Everysport Group AB, tel: +46 70 736 56 25,
e-mail: hannes.andersson@everysport.com
About Everysport Group
Everysport Group AB (publ) is a group operating in sports. Everysport is divided into two business areas: Everysport Media and Every Padel. Everysport Media owns and develops digital platforms and services in sports and Every Padel conducts facility operations in padel. The group has a total of about 110 employees. The head office is located in Stockholm, and the company also has offices in Norway and the US. The group is listed on the Spotlight Stock Market (EVERY).
This disclosure contains information that Everysport Group AB is obliged to make public pursuant to the EU Market Abuse Regulation (EU nr 596/2014). The information was submitted for publication, through the agency of the contact person, on 15-08-2023 08:10 CET.