Candle Lake launched a mandatory public cash takeover offer for Evolution AB at 63.02 euros per share, valuing the live casino supplier at approximately 11.94 billion euros. The move comes after the investor surpassed the 30% stake in the company, but Candle Lake says it is not seeking full control.
Offer and stake
The offer follows the purchase of 2.05 million Evolution shares on July 24, which raised the direct stake to approximately 30.02%. With subsequent acquisitions, the stake rose to 59,798,619 shares, equivalent to 31.56% of the capital. A related party holds exposure to an additional 4,037,416 shares through total return swaps, bringing combined financial exposure to approximately 32.04%.
The price of 63.02 euros per share values Evolution's 189,447,977 outstanding shares at approximately 11.94 billion euros. The 129,649,358 shares not held or controlled by Candle Lake or related parties represent an offer value of approximately 8.17 billion euros. The value equals the share close on July 24, is 1.6% above the 20-day volume-weighted average price (VWAP) on that date and 5.7% below the close of 66.84 euros on August 12, and is 3.3% below the most recent VWAP.
Candle Lake said the offer "is not motivated by an intention to acquire all of Evolution's outstanding shares." The investor said it has no plans for material changes to the company's operations, locations, management or employees. If the stake exceeds 90%, Candle Lake intends to initiate a compulsory redemption procedure and seek the delisting of Evolution from Nasdaq Stockholm.
Candle Lake published the offer document on Friday (August 14), after approval and registration by the Swedish Financial Supervisory Authority. The acceptance period runs from August 17 to September 15, with payment expected to begin on September 23. The investor says the financing is fully guaranteed and that the usual regulatory approvals have already been received.
Evolution's results
The offer comes after Evolution reported a 1.2% decline in net revenue in the 2nd quarter of 2026, to 517.8 million euros, on a year-over-year comparison. Growth in constant currency was estimated at 2.4%. EBITDA reached 341.0 million euros, with a margin of 65.9%, and quarterly profit was 251.4 million euros. Management said Europe returned to sequential growth in the quarter, while cost control and cash flow improved.
