Tatts Group offloads Talarius to Novomatic
Tatts Group has agreed to sell its Talarius UK-based slots business to Novomatic in a deal worth Aus$210 million (€141.2 million/US$156 million).
In a statement confirming the agreement, Tatts said that proceeds from the deal would be used to help pay off debt.
Tatts added that the sale will lead to an accounting loss of approximately Aus$50 million for the 2016 financial year, with overall net profit for the company set to fall from a forecast of between Aus$259 million and Aus$282 million to between Aus$255 million and Aus$265 million.
Last year, Talarius contributed less than 2% of Tatts’ overall earnings for the 12-month period.
“The sale of Talarius follows three years of intense effort to improve the performance of a business that struggled since its acquisition by Tatts back in 2008,” Tatts chief executive Robbie Cooke in a statement to the ASX.
Tatts said its full-year results for the current year will include contribution from Talarius as a discontinued operation up to March 19, the official date of the sale.
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