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Gaming Innovation Group: Two maybe better than one - SEB

GIG’s Q4 sales were EUR 26m, in line with consensus, and adj. EBITDA was EUR 10.8m, EUR 1m above our estimates. Positive momentum continued for the media segment which reported record high revenue and FTD intake, as we expected and now the norm. GIG announced a strategic review with the aim of splitting the company into two separate publicly listed entities. We now use SOTP analysis to value GIG and raise our mid-point valuation to SEK 41 (38).

GIG’s Q4 sales were EUR 26m, in line with consensus, and adj. EBITDA was EUR 10.8m, EUR 1m above our estimates. Positive momentum continued for the media segment which reported record high revenue and FTD intake, as we expected and now the norm. GIG announced a strategic review with the aim of splitting the company into two separate publicly listed entities. We now use SOTP analysis to value GIG and raise our mid-point valuation to SEK 41 (38).
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