Gamesys Group Plc’s management has stated by releasing a regulatory statement that it has approved a £ 40 m repayment of the company’s GBP corporate debt, rebalancing its finances and allowing for improved cash generation.
The approved deal sees the bingo & slots site company governance lower its long-term GBP corporate debt by 15 percent, resulting in an additional 7 percent debt reduction for its overall GBP and EURO tranches.
Gamesys Governance stressed that the significant debt reduction is part of the company’s long-term strategy, providing its creditors with a stronger cash-generating enterprise.
Gamesys announced that its corporate net debt figure stood at £ 485 million in its latest financial statement, reflecting a net leverage ratio of 3x versus business EBITDA.
CFO Keith Laslop commenting on the transaction note, said: “As we’ve stated previously, a key strategic goal for the board is to have our long-term leverage ratio in-line with our peers, which is currently in the range of one to two times adjusted earnings before interest, tax, depreciation and amortisation.
“Our significant cash generation allows us to rapidly de-lever, and today’s paydown is an important first step in attaining that goal.”
On Tuesday, 17 March, Gamesys Governance is set to release its full-year earnings performance. At the end of January, Gamesys released a trade notice outlining the confidence that the company’s earnings would represent the market’s highest expectations.