Cherry Opts to Pick up 44% of Game Lounge, Now Owns 95%

This story was published more than 2 years ago.

Gaming firm Cherry AB has announced that they've opted to pick up 44% additional stock in Game Lounge, growing from the 51% that the company invested in 2015.

The total stake in Game Lounge for Cherry is at 95%, with the remaining 5% of the company being held by the group's founders. Those two founders, Jonas Cederholm and Fredrik Langeland also will stay on as the CEO and Head of Sales. The purchase is being made at 4.5 times the company's 2017 profits of the group's affiliate operation as well as 6 times Game Lounge's white label business.

Speaking about the deal Cherry CEO Anders Holmgren said, "Game Lounge holds a strong position in a growing market. Game Lounge's business model is remarkably scalable, the company has unique capabilities in search-engine optimisation (SEO) and is the recognised standard in affiliation within the gaming industry and we see great potential to expand the scope of the business to also include other segments, such as the loan affiliate website Lainat.fi, acquired by Game Lounge in November."

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Dustin Jermalowicz // News Editor
Dustin Jermalowicz
Dustin has a long-standing passion for gambling. He has been writing professionally on the subject and breaking industry news for Casino Listings since 2011. His favorite casino games include Blackjack, Poker, and Hi/Lo. A proud native of Detroit, Dustin currently lives in Michigan.
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bgsharpe
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29 December 2017 - 6:17pm
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An interesting scheme there in which Game Lounge founders will hold a piece of the shares plus they will remain at their keen positions in the company which means they will still have the word when it comes to some important decisions I guess.