Inspired Entertainment to Sell UK Holiday Parks Business to GENDA for £18.6 million

Inspired Entertainment has agreed to sell its UK holiday parks business to GENDA Inc. for £18.6 million ($25.1 million). The deal aligns with Inspired's strategy to shift towards a more digital and scalable model, increasing its digital EBITDA mix and improving its EBITDA margin. The transaction is expected to close in Q4 2025, with net proceeds used to pay down debt. Inspired will provide gaming content and platform services to Indigo NewCo Limited on a recurring basis.

Inspired Entertainment, Inc. (NASDAQ: INSE) has announced a definitive agreement to sell its UK holiday parks business to GENDA Inc. (TSE:9166) for approximately £18.6 million ($25.1 million) in cash. The sale includes Indigo NewCo Limited, which operates over 11,000 amusement and gaming machines across 170 family entertainment centers throughout the UK [1].

The transaction, expected to close in Q4 2025, aligns with Inspired's strategic shift towards a more digital and scalable business model. The company will continue providing gaming content and platform services to Indigo NewCo Limited on a recurring revenue basis. Net proceeds will be primarily used for debt reduction [1].

The sale represents a strategic repositioning for Inspired, aiming to increase its digital EBITDA mix and improve its EBITDA margin. The company aims to move from an operator of physical assets to a technology/content provider with recurring revenue streams. Additionally, this move creates a more agile operational structure, allowing for greater flexibility in capital allocation and potentially accelerating investment in higher-growth digital initiatives [1].

The transaction follows industry trends where gaming companies increasingly prioritize scalable digital content delivery over capital-intensive physical operations. Inspired's strategic pivot positions the company for potentially stronger competitive positioning in digital gaming markets.

References:
[1] https://www.stocktitan.net/news/INSE/inspired-announces-proposed-sale-of-uk-holiday-parks-business-to-4ijscu9xl03c.html