Evolution AB Extends Merger Agreement with Galaxy Gaming to Mid‑2026
Evolution AB, a leading Swedish provider of B2B live‑casino solutions, announced that it has extended the completion deadline of its merger agreement with Galaxy Gaming to the middle of 2026. The Swedish firm indicated that regulatory approvals are anticipated in the first quarter of that year, after which the two companies expect to finalize the transaction.
The extension follows the original deal announced earlier in the calendar year, which has attracted scrutiny from both the regulatory community and market participants due to the size of the transaction and the potential impact on competition within the online gaming sector. Evolution remains committed to finalising the acquisition, citing that the extended timeline will allow for a more thorough due‑diligence process and a smoother integration of the two entities’ technology platforms.
In parallel, Jefferies analysts have revised their target price for Evolution’s shares downward. The downgrade reflects uncertainty surrounding a U.S. legal dispute in which Evolution has been involved with Playtech. The legal challenge introduces additional risk factors that could delay the merger and affect the company’s valuation.
Despite the downgrade, Evolution has continued its share‑buyback programme, purchasing its own shares on the open market. The buyback activity demonstrates confidence in the firm’s intrinsic value and serves to offset potential dilution from the merger.
The market reaction to the merger extension and the analyst revision has been muted. Evolution’s stock price has settled near its recent trading range, suggesting that investors are absorbing the news without significant repositioning of their portfolios. The modest impact indicates that market participants view the extension as a procedural adjustment rather than a fundamental shift in the company’s strategic trajectory.
Overall, the extension of the merger deadline aligns with industry practices where complex cross‑border transactions often require extended regulatory review. The legal dispute in the United States adds a layer of uncertainty that investors and analysts are monitoring closely. As Evolution advances toward the finalisation of the Galaxy Gaming acquisition, the company’s focus on integrating technology, managing regulatory compliance, and maintaining shareholder value will remain critical to sustaining its market position within the broader gaming ecosystem.
