SkyCity sells off stake in online platform provider Gaming Innovation Group

New Zealand’s SkyCity Entertainment Group said early Tuesday that it has entered into an unconditional agreement to sell its entire 10% shareholding in Gaming Innovation Group Inc (GiG), the European-based online gaming platform provider and media services operator that hosts the company’s online gaming operations.

In a filing, SkyCity said the net proceeds of the sale are approximately NZ$55 million (US$33.7 million) after brokerage and legal costs, with the proceeds to be used to pay down debt. This, the company added, is “part of its ongoing prudent approach to capital management.

“SkyCity has decided to divest its shareholding in GiG as it is non-core to its ongoing operations, and is now not considered strategically necessary for SkyCity,” it said.

SkyCity will continue to work with GiG through its involvement with online real money casino SkyCity Online Casino, operated out of Malta.

The company acquired its shareholding in GiG in April 2022 for €25 million (US$26.8 million).