Source: Betsson AB

Betsson AB acquires leading casino operator on the Dutch market

Betsson AB acquires a private online gaming group ("Oranje and Kroon") based in Malta
consisting of Oranje Casino, Kroon Casino and an affiliate business. The companies are
primarily targeting the Dutch market, but Kroon Casino also has a presence in Belgium.

"With this acquisition, Betsson gains a strategic position in the Netherlands and become
one of the biggest players on the Dutch market which is expected to be re-regulated
during 2015. This would give Betsson’s profits from locally-regulated markets exceeding
25% of the group’s total profit. The deal also gives Betsson a larger and more significant
presence in continental Europe", said Magnus Silfverberg, President and CEO of Betsson.

In 2013, revenues in Oranje and Kroon amounted to EUR 32.5 million with an EBIT of EUR
22.1 million, equivalent to an EBIT margin of 67,8%. Registered customers amount to
209 000.

In addition to incremental earnings, the transaction contributes with more than 300 new
domains, a Belgian license and a number of proprietary developed and exclusive casino
games. Betsson acquires Oranje and Kroon from three entrepreneurs. They will continue
as external advisors to Betsson. Betsson has also secured other key employees to remain
with the business.

Betsson acquires a combination of shares and assets from the sellers for an initial
purchase consideration amounting to EUR 100 million (enterprise value), of which EUR 60
million are payable in Betsson shares and the remaining 40 million is payable in cash. The
initial purchase consideration corresponds to 4.5 times EBIT in 2013.

In addition to the initial purchase consideration, a remaining purchase consideration may
become payable, based on the outcome of the anticipated re-regulation in Holland. A
more attractive re-regulation for Oranje and Kroon will trigger a higher remaining amount
to be settled by Betsson. The maximum remaining purchase consideration amounts to EUR
45 million, which implies a maximum total purchase consideration of EUR 145 million,
which corresponds to 6.6 times EBIT for 2013.

However, the expected remaining purchase consideration is EUR 30 million, representing
a total purchase consideration of EUR 130 million, corresponding to 5.9 times EBIT for
2013.

Betsson estimates that the acquisition and integration costs will not exceed SEK 30.0
million over the next 12 months. In addition to these costs further depreciation of
immaterial assets will be triggered, in conjunction with Betsson´s previous acquisitions,
these have no cash flow impact.

The acquisition is financed through equity, own generated cash and a newly secured EUR
90 million bank facility. The funding creates flexibility for the future and will also be used
to repay current outstanding debt.

The shares issued as payment in kind as part of the purchase consideration are issued
under the authorization that the board in Betsson AB has from the Annual General
Meeting. The price for the shares will be determined based on Betsson´s share price
before the completion of the transaction.

The acquisition is subject to customary regulatory approvals, and closing is expected to
take place during first quarter 2014.

More information will follow at Betsson’s presentation of the fourth quarter at Betsson
AB's office, Regeringsgatan 28, Stockholm, at 09.00 (CET). To participate by phone please
call:

+ 46 850 556 474 (Sweden)
+ 44 203 364 53 74 (UK)
+ 18 557 532 230 (U.S.)

To access the presentation via webcast: http://www.media-server.com/m/p/fdvzqah2

Carnegie Investment Bank acts as financial adviser to Betsson in connection with the
transaction and Gernandt & Danielsson Advokatbyrå acts as legal advisers.

For further information, please contact:

Magnus Silfverberg, CEO and President Betsson AB (publ), phone: +46 (0)8 506 403 00,
+46 (0)735 120 720, magnus.silfverberg@betssonab.com, or Fredrik Rüdén, CFO, phone:
+46 (0)8 506 403 00, fredrik.ruden@betssonab.com

Betsson discloses the information provided herein pursuant to the Securities Market Act
and/or the Financial Instruments Trading Act. The information was submitted for
publication at 07:00 CET on Friday, 7 February 2014.

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