Cherry AB is planning to sell its online gambling subsidiary, ComeOn Gaming, as part of a broader reorganisation of its gambling business.

As reported by Reuters, the Swedish heritage gambling group has appointed Moelis and Jefferies to explore sale options for ComeOn.

According to sources, Cherry AB seeks to sell ComeOn for €500 million, nearly doubling its return on the business it acquired outright in 2017 for €280 million.

The €500 million sales target is based on a projected 2024 EBITDA of €60 million for ComeOn, which has served as the online gambling arm of Cherry AB in Nordic markets.

Reuters notes that Cherry AB is among several European gambling groups considering divesting their consumer-led brands to concentrate on their land-based gambling units and contracts.

The assets of Cherry AB are under review by London private equity firm Bridgepoint, which acquired the Swedish gambling group in 2018 for €1 billion, taking its business into private ownership.

Founded in 1963, Cherry AB operates as the leading supplier of gaming machines for Swedish leisure and entertainment venues, such as casinos, restaurants, and nightclubs.

As it stands, the sale options for ComeOn are reported to be in the early stages, with no formal auction expected this year and no sale guaranteed by Cherry AB.

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