Codere's online betting arm to combine with a U.S. SPAC, shares jump

Codere Online Luxembourg SA

22/06/2021 09:30

** Spanish gaming group Codere  CDRE.MC  jumps 25.8%, paring
earlier gains of as much as 34.3%, after its online betting and
casino arm entered business combination deal with a U.S. SPAC
DD3 Acquisition Corp. II  DDMX.O  
    ** The transaction under which Codere Online will be merged
with DD3 values the former at an estimated pro forma enterprise
value of about $350 million  urn:newsml:reuters.com:*:nGNX7pvL4d
    ** As a result, Codere Online will be listed on Nasdaq in
the U.S., while Codere Group will maintain a stake of between
54%-73%  urn:newsml:reuters.com:*:nL5N2O40K2
    ** Codere Online expects to have about $145 mln to fund
marketing expenditures, technology platform improvements, and
expansion into new high-growth markets 
    ** Codere shares are on track for their best day since May
3, 2021, when it closed 42.0% higher on its founders' push for a
different takeover bid 


 (Reporting by Joanna Jonczyk-Gwizdala)
 ((joanna.jonczyk@tr.com))