Company’s Class A ordinary shares to be acquired by Wanda Sports & Media.
Getty Images
- WSG debuted on Nasdaq in July 2019 but has been hit hard by Covid-19
- Sports firm’s privatisation worth US$100m
Wanda Sports Group (WSG) has delisted from the Nasdaq stock exchange and its Class A ordinary shares will be acquired by Wanda Sports & Media, a Dalian Wanda subsidiary.
WSG, the sports unit of Chinese conglomerate Dalian Wanda Group, debuted on Nasdaq back in July 2019. Over the course of its run, the company failed to surpass its first-day high and saw its value suffer as Covid-19 wreaked havoc with the sporting calendar and led to the mass cancellation of events.
This was laid bare in WSG’s third quarter financial results, with only €3.2 million (US$3.8 million) brought in from its mass participation event operations, a hefty 87 per cent year-on-year (YoY) drop due to the numerous shelved events.
In addition, Q3 revenues declined by 42 per cent to €91.2 million (US$110.2 million), in what was the third straight quarter of decline.
WSG, which owns the Infront sports marketing agency, was able to report a net profit of €5.5 million (US$6.6 million) for the period to 30th September 2020. Chief executive Hengming Yang emphasised the ongoing disruption being caused to the business by the pandemic, but did highlight the company’s commitment in the sports event space.
“Although we continue to experience extraordinary challenges and uncertainties as the pandemic disrupts our way of life across the globe, we are pleased to deliver the safe returns of some of the compelling regional events, including Italy's Serie A, the German Bundesliga and Premier League football matches with and without spectators,” said Yang.
“We remain actively committed in supporting our partners to achieve more sustainable sporting events now and in the future.”
He continued: “Despite the continued low visibility in the near term, we remain optimistic about the demand for sporting media on a global basis, as we continue to focus on our strategic execution leveraging our global talents, assets and platform.”
As well as its Nasdaq delisting, WSG’s Class A ordinary shares have been acquired by Wanda Sports & Media, a wholly-owned subsidiary of the Dalian Wanda Group, and will be privatised at US$2.55 per American depositary share (ADS). The privatisation is worth US$100 million.
The offer was first made on 30th September last year by Wanda Sports & Media. The Hong Kong-based holding firm already owned all Class B ordinary shares of WSG, representing around 71.68 per cent of all the issued and outstanding shares of the company.
At the time, news of the buyout offer saw shares in WSG jump 28 per cent.
"exchange" - Google News
February 01, 2021 at 04:55PM
https://ift.tt/3pDDhum
Wanda Sports Group delisted from Nasdaq stock exchange - SportsPro Media
"exchange" - Google News
https://ift.tt/3c55nbe
https://ift.tt/3b2gZKy
Exchange
Bagikan Berita Ini
0 Response to "Wanda Sports Group delisted from Nasdaq stock exchange - SportsPro Media"
Post a Comment