- Legal States
Deyan Dimitrov November 22, 2022 3 min read
AskGamblers Sale May Prop Up Catena’s Restructuring Efforts
Gambling affiliate operator Catena Media may soon enjoy a brief respite amidst a tumultuous 2022. The company has been underperforming in recent months and is now attempting to divest itself of some of its brands and stagnating European assets. Recent news suggests that AskGamblers.com, Catena’s online gambling player community portal, may have attracted a potential buyer. If true, the extra capital should help the company’s goal to transition the bulk of its business to its USA division.
AskGamblers Is a Popular, Feature-Rich Platform
Established in 2006, AskGamblers caters to the needs of online gambling fans, offering user reviews of popular gambling platforms, player-driven casino rankings, podcasts, and educational materials. The website currently boasts over 400,000 registered users who have submitted 140,000 player reviews, covering almost all iGaming platforms.
A staunch proponent of safe gaming, AskGamblers has grown from a niche service to a reputable international brand. Since its inception, the gambling portal has added several well-received features like its Casino Complaint assistance service and AG Coin casino bonus. The latter allows players to quickly and securely claim their winnings from hundreds of affiliated casinos.
The Selling Price May Fall below Expectations
According to a recent article by iGamingBusiness, multiple buyers expressed interest in the AskGamblers brand thanks to its substantial reach, healthy user base, and gambling operator connections. Catena was reportedly almost ready to close an agreement with one of the interested parties for an undisclosed sum.
However, the news portal claims that the offer was substantially less than Catena’s initial estimations. Selling off AskGamblers under these conditions would cause friction with shareholders expecting a much greater return from such a successful and internationally recognized brand.
Catena Is Yet to Regain Its Footing
More details regarding the AskGamblers deal are yet unavailable, though it is clear that Catena can use all the capital it can get. After the disappointing Q3 results, the company has fully realigned towards scaling down its European assets and reinvesting in the more lucrative US market. Catena expects to save €5 million yearly and double down on its most profitable verticals.
The potential sale of AskGamblers is part of that plan, and the extra funds may allow Catena to regain some of its 2021 momentum, aiding its reorganization efforts. Although the business is far from immediate danger, some additional capital would be welcome amidst the turbulent economic conditions. However, if the proposed price is substantially below initial estimates, the potential investor backlash after a perceived poor deal could be more trouble than it’s worth.