Published
OnlineBingoFinancial

Caledonia Investments sells Buzz Bingo shares after Covid-19 setback

Caledonia Investments has sold its shares in Buzz Bingo to Intermediate Capital Group (ICG) for a nominal amount.

ShareSales

The investment company has chosen not to participate in the latest round of fundraising and instead sell its shares.

After investing £22m ($30.6m) in the summer of 2020, the company has decided it will not provide more capital following a third national lockdown.

Instead, ICG and Barclays will provide further capital to Buzz Bingo, which has struggled to trade much over the past year due to the Covid-19 crisis.

ICG is already a long-term backer of Buzz; it has stepped in to provide £18m to ensure the business can thrive beyond lockdown.

Likewise, Barclays has secured a £10m facility which will support further investment and grow its online offering.

Chris Matthews, Buzz Bingo CEO, said: “This agreement provides us with the financing we need to ensure our success when Covid-19 restrictions ease.

“Prior to Covid-19, we were in a strong position and growing.  But lockdowns meant we have only been able to fully trade for about six weeks since March 2020.”

Despite the land-based complications, Matthews mentioned the company saw growth online.

“We are also benefiting from the fast growth of our online offering Buzzbingo.com, which two years after launch is already one of the UK’s market leading operators in its own right,” he added.

Buzz Bingo will allow customers to return to its 91 clubs throughout the UK on 17 May 2021.

Premium+ Connections
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium Connections
Awards
Executive Profiles
Wynn Resorts
Table Trac/CasinoTrac
Grosvenor Casinos, The Rank Group
Fertitta Entertainment
Scientific Games

Facing Facts: Looking back on how Asian operators fared in Q4 2022

Gambling Insider takes a closer look at various facts and fi...

GBGC Data: How betting has changed in the US and Europe over the years

Global Betting & Gaming Consultants (GBGC), the global gamin...

Taking Stock: How did Asian operators share prices fare over the last six months?

MGM China, Melco Resorts & Entertainment, Sands China and Wy...

AI in the gambling industry: Evolving or deskilling?

With expert industry insight from suppliers OPTX and Sportra...

Read Magazine