(Alliance News) - AIM-listed Nektan PLC on Tuesday confirmed that its UK B2C business was sold to Grace Media Ltd, which is a part of digital marketing services provider Active Win Group, for GBP200,000.
For the year to the end of June 2018 - being its most recent audited accounts - Nektan's UK B2C business generated turnover of GBP19.4 million and was loss making.
The move follows the appointment of Mark Phillips and Julie Swan of PCR London LLP as joint administrators of Nektan's UK B2C business, which was announced earlier on Tuesday.
The gaming technology platform provider highlighted, however, that this will have no operational impact on Nektan or any of its other subsidiaries, which will continue to trade "as normal".
As the sale proceeded, Nektan said it has entered into a business-to-business partnership with Grace Media to facilitate continued delivery of services to its existing UK B2C white label partners. This will result in Nektan receiving ongoing monthly royalties from Grace Media.
Looking ahead, Nektan said this restructuring will re-position the company to target new emerging markets with a strengthened balance sheet and cash position.
"We look forward to working in partnership through the business-to-business relationship with the buyer as they take the business forward," said Nektan Interim Chief Executive Gary Shaw.
"The opportunity to acquire the UK B2C business allows Active Win Group to expand further into the UK online casino market, furthering our growth in this market from being a white label operator ourselves, to working with the full complement of business partners established by Nektan in recent years," added Active Win Group Chief Executive Warren Jacobs.
Nektan shares were suspended from trading on London's AIM on Thursday last week, pending publication of its audited annual results.
By Evelina Grecenko; evelinagrecenko@alliancenews.com
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