Senior leadership of Allwyn Entertainment are highly confident in the firm’s financial standing after successfully replacing a key financial asset used to support international growth.
The company secured a seven-year Term B loan of €450m (£388m) in 2024. This instrument has come in handy for the firm as it embarked on acquisitions and expansion in the years since, notably merging with Greek gaming giant OPAP last year.
Another Term B loan of €475m was secured in 2025, with a US$75m add on bringing the total up to €550m. This maturity date for this Euro loan is set at 28 March 2032, while the previous loan is due 2031.
However, this morning Allwyn announced that it has been able to reprice the loan. By doing so, it has reduced the margin on the loan by 50 basis points from 300 to 250.
This has reduced the payable interest by around €5m per year.
“We are very pleased with the strong level of investor demand for this transaction,” said Ken Morton, Allwyn’s Chief Financial Officer.
“Achieving a repricing at 250 basis points is a compelling outcome in today’s market, with very few issuers in the TLB market achieving this level this year, and reflects the strength of the Allwyn credit and investors’ confidence in our strategy and delivery.
“This transaction is another step in our proactive management of the balance sheet, reducing our cost of funding and reinforcing our diversified access to capital markets.”
The transaction puts Allwyn in an even more secure financial position following the expansion and acquisitions detailed above. It’s fair to say that the Swiss-headquartered company has had an active few years in the 2020s, to say the least.
In 2022 it secured the fourth 10-year licence to operate the UK National Lottery, a major contract but one which also came with some legal challenges as former licence holder Camelot UK, its tech supplier IGT, and fellow licence contender Richard Desmond, all mounted legal challenges.
These legal battles have now all been wrapped up in Allwyn’s favour, giving the company the all clear to press ahead with its vision for the UK lottery – and hopefully for its leadership and shareholders, to re-secure the contract in 2034.
It has also cemented its status as one of the world’s largest publicly listed gambling companies and the largest in lotteries following the acquisition of US daily fantasy sports (DFS) platform PrizePicks and the previously mentioned merger with OPAP last year.