Atlas CEO Carl Esprey when the firm listed at the NSE in 2014. PHOTO | FILE
Loss
making Nairobi Securities Exchange listed firm Atlas Africa Industries
has made a Sh30m bet on a Nigearia-based gaming company, BonanzaWin.
The equity buyout will see Atlas Africa hold a 10 per cent stake of the Nigerian firm.
BonanzaWin
has an online gaming platform, which powers a wide range of games
including sports betting, live casino and slot games focused on the
Nigerian market.
Atlas in a statement to the
bourse said the investment is in line with the company’s strategy to
identify prospective growth opportunities across Africa, particularly
within the growing consumer market.
“The
investment has been effected through a share subscription and capital
contribution into Equatorial Partners Limited (‘EPL’), a Maltese holding
company which in turn holds a 60 per cent stake in Saerimner Ltd
(‘Saerimner’), a Nigerian registered company operating under the trading
name “BonanzaWin”,” it said in a regulatory filing.
“Atlas’
total investment into EPL at this stage is Sh30million ($300,000, in
consideration for which it has acquired a 10 per cent equity stake in
EPL.”
Large consumer market
The
UK logistics company, announced the closure of its Kenyan subsidiaries
last December following a downturn in the oil and gas exploration
sector.
Carl Esprey, CEO of Atlas said,
“BonanzaWin provides us with exposure to Nigeria’s large consumer
market, specifically the fast-growing gaming and entertainment market.”
Atlas Africa Industries earlier this year ran into atax dispute with the Ethiopian government that saw it lose Sh241 million ($2.4 million) from its subsidiary TEAP Glass Plc.
Atlas Africa Industries
last April announced a net loss of Sh3.42 billion loss for the 18
months ended December 2015, which it linked largely to costs of
discontinued operations in Kenya.
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