Inspired Entertainment Inc. has sold its UK holiday parks business to GENDA Inc. for approximately £18.6 million as part of a strategic shift towards B2B operations.

Information on the Target

Inspired Entertainment Inc. (NASDAQ: INSE) has recently divested its UK holiday parks business, along with several leisure assets, to GENDA Inc. (TSE:9166) for approximately £18.6 million ($25.1 million) in cash. This sale, which emphasizes Inspired's shift towards a digital and scalable B2B model, involves key operations related to the management of approximately 11,000 amusement and gaming machines across 170 arcades and Adult Gaming Centres (AGCs) located within UK holiday parks. The company intends to focus on driving stronger long-term growth, higher profit margins, and a better free cash flow generation.

Industry Overview in the UK

The UK entertainment and leisure industry is a rapidly evolving sector, characterized by a mix of traditional leisure activities and modern digital experiences. With an increasing number of consumers seeking diverse entertainment options, the industry has seen notable growth in areas such as amusement and gaming. The demand for leisure parks and gaming facilities has also surged, particularly post-pandemic, as people seek outdoor and interactive experiences.

In recent years, the UK has witnessed significant investments in holiday parks and recreational facilities, responding to consumer preferences for short-term getaways and family-friendly activities. This has driven operators to innovate in th