American billionaire Kenneth Dart, heir to a private polystyrene container dynasty and known for leading a secretive life, now owns 30.02% of the Swedish live casino company Evolution.
Dart, through Candle Lake Limited, has purchased 2.05 million shares of Evolution, raising his stake to 30.02%. In Sweden, crossing the 30% threshold of voting rights in a listed company triggers a mandatory takeover bid (public tender offer) for the remaining shares, according to regulations.
This means that Candle Lake Limited now has a four-week deadline to launch a mandatory public tender offer for 100% of Evolution. Otherwise, it must sell the excess shares and reduce its stake below the threshold.
These have been difficult years for Evolution’s shares, especially after it came to light that its rival Playtech had hired the private Israeli intelligence agency Black Cube in 2021 to investigate whether Evolution was operating in restricted or sanctioned markets.
Evolution has denied several of the accusations made against it and argues that the report’s conclusions are merely a stroke of luck for Playtech, although the legal dispute over the “defamation campaign” continues and has affected the Swedish firm’s reputation.
Regulatory scrutiny of Evolution has intensified recently. In December 2024, the UK Gambling Commission (UKGC) initiated a review process of the Swedish company’s license, while pressures in other international markets have also slowed the expansion of the Stockholm-listed company.
The consequences of regulatory pressures were also evident last week when Evolution canceled the acquisition of Galaxy Gaming.
Evolution’s shares rose more than 4% on Monday (July 27) following the announcement that its main shareholder, Candle Lake, raised its stake to 30.02%.