Olympic Casino buys leading casino operator in Ukraine
Posted on 05.07.2007
Andri Avila, member of the Management Board of OEG, said that Eldorado is one of Ukraine’s leading casino operators, which five slot casinos are all located in the center of Kyiv or near the city centre. „All Eldorado casinos are good-quality gaming locations and are all situated in popular and prestigious areas,” said Avila. After the deal enters into force, all Eldorado slot casinos will continue operations and will be re-branded as Olympic Casinos.
In addition to the acquiring of new casinos, Olympic Casino will, after the deal enters into force, also enter the table gaming market of Ukraine. “All current 11 Olympic Casinos in Ukraine are slot casinos,” explained Avila. “Three of five Eldorado casinos have both slot machines and game tables while the remaining two are slot casinos. The entry to the table game market is a major quality improvement and a step towards Olympic Casino entertaining casino concept also on the Ukrainian market.”
Andri Avila said that the situation to increase market share in Ukraine is favorable. “The market regulation is improving – a new gambling act is being drafted and local governments have wider control over the legality of market operators than before,” he said. “All this will strengthen the position of legitimate operators on the market. Naturally, the objective of Olympic Casino is to continue growing and increasing market share.”
Commenting the preliminary contract signed today, Jan Magnus Salmi, President of Eldorado, expressed satisfaction that the company is being acquired by such a strong player as Olympic Casino. “This is a positive message about future development for all our almost 400 employees,” he said.
OEG will acquire the three companies that were involved in operating the Eldorado casinos after the final share purchase and sale agreement enters into force. The deal is also subject to approval by the Competition Board of Ukraine. The initial share purchase and sale price will be EEK 144 mln (EUR 9.2 mln).
OEG entered the Ukraine gaming market in November 2004. In three years the company has invested over EEK 180 million (EUR 11.5 mln) on the Ukrainian market and today employs more than 200 people in Ukraine. The companies that operated under the Eldorado brand employed around 400 people at the end of 2006.
Olympic Entertainment Group that operates under the Olympic Casino brand name is the largest provider of casino entertainment in the region, employing almost 3,000 people. OEG is the full member of the European Casino Association (ECA). At present the Group operates casinos in Estonia, Latvia, Lithuania, Belarus, Ukraine, Romania and Poland, and has set up a subsidiary in Slovakia. Shares of OEG are traded in the Main List of the Tallinn Stock Exchange.
Member of the Management Board
Olympic Entertainment Group
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