Kristian Nylén, the co-founder of Kambi alongside Anders Ström in 2010, is stepping down from his position as the company’s leader.
Under his leadership, Kambi has grown to become a prominent sportsbook supplier in the industry. Nylén’s decision to resign is driven by his desire to dedicate more time to his family.
In his statement, Nylén expressed the difficulty of this decision but emphasized his commitment to spending quality time with his young and growing family. He plans to step down from his current role once a suitable successor is appointed.
Despite the news of Nylén’s resignation, the market response has been relatively stable. At the time of writing, Kambi’s share price had dipped by 1.83% to SEK160.50 (€14.79/£12.29/$15.69).
Nylén’s announcement comes after a period of sustained growth for Kambi.
The company achieved a 15.0% increase in revenue, reaching €42.1m (£36.3m/$46.1m) in the third quarter.
This growth was particularly noteworthy as it occurred despite the loss of Penn Entertainment, with Kambi posting year-on-year growth across its divisions.
During this period, EBITDA rose by 3% to €13.9m, with a slightly increased margin of 11.0%.
Additionally, Kambi reported a 34.6% increase in net profit to €3.5m. Nylén expressed confidence in Kambi’s progress, indicating that the company is on track to achieve its long-term financial targets.
Kambi envisions a global addressable market of approximately €50bn GGR by 2027. Their 2027 financial goals include revenue ranging from €330m to €500m and EBIT exceeding €150m. Nylén had previously highlighted the significance of shifting the company’s focus to selling modular services rather than complete sportsbooks to drive growth.
In light of these developments, Nylén is also nominated for a board position, with a vote scheduled for the 2024 annual general meeting (AGM) in May.
If approved, Nylén will serve on the board until at least the 2025 AGM.
Kambi has recently undergone other changes, with Anders Ström, a co-founder, taking over as the new chair in November 2023, replacing Lars Stugemo.
Stugemo opted to step down after nearly a decade in the role. Ström’s appointment as chair will be formally proposed at the upcoming AGM.
The Kambi board acknowledges Nylén’s invaluable contributions to the company, praising his strategic insight and unwavering commitment.
Ström anticipates that Nylén’s transition to a board position will ensure a consistent and stable strategic direction for Kambi.
In addition to Nylén, Benjie Cherniak, an independent investor and advisor in the iGaming industry, has been nominated to join the Kambi board after the May AGM, further strengthening the company’s leadership team.