Rightbridge Ventures Group AB (publ) (“Rightbridge”) or (“the Company”) has today entered into an agreement to divest all shares in Team Singularity ApS (“SNG”) to Atle Capital ApS, which is a minority shareholder. The purchase price amounts to one (1) DKK. The sale of SNG results in a goodwill impairment of approximately 18.7 MSEK and a loan write-down of 4 MSEK.
The new board of Rightbridge, along with the new management, has undergone a review of operations in October to streamline the portfolio by becoming an investment company focusing on IP rights and gaming. To implement the strategy, the board has chosen to divest portfolio companies that are not in line with the new strategic direction. The company's sale of SNG is in accordance with the new strategy, and the purpose of the sale is to reduce the company's exposure to unprofitable markets. The company believes that a reduced debt ratio increases the opportunities to raise capital to implement the new strategy, thereby increasing shareholder returns over time.
SNG has had a significant impact on the group's financial position during the fiscal years 2022 and 2023, which will be reflected in the group's upcoming financial reports for 2023. SNG's revenues amounted to 3 MSEK in 2022, with an EBITDA result of -1 MSEK. During the first two quarters of 2023, SNG had revenues of 0.4 MSEK and an EBITDA result of -1 MSEK. The sale will be completed in November, and SNG will not be part of the consolidated financial reports from December 2023. The shares in SNG are owned by the wholly-owned subsidiary Rightbridge Ventures AB and lead to a write-down of shares in the subsidiary of 15 MSEK, internal loans of 3 MSEK, and an additional 1 MSEK internal loans attributable to Rightbridge Ventures Group AB.
“The sale of SNG is in line with our new strategy, enabling greater focus on other areas in our portfolio and also allowing new exciting projects to be included in the portfolio,” comments Claes Kalborg - CEO of Rightbridge.
For further inquiries, please contact:
Claes Kalborg - CEO of Rightbridge Ventures Group AB
Phone: +46 73 444 55 07
Email: Claes.Kalborg@rightbridge.se
PUBLICATION
This information is information that RightBridge Ventures Group AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submited for publication, through the agency of the contact persons set out above, on 24/11/2023.
RightBridge Ventures is a compounder and investment company based in Stockholm (Sweden) dedicated to investing in companies that shape the future of esports and gaming as part of the digital media and entertainment industry. For more information visit www.rightbridge.se or get updates by following us on LinkedIn.
RightBridge Ventures Group AB (publ)'s shares are traded on the Nasdaq First North Growth Market and Amudova AB is a Certified Adviser.
