Operator Profile: Kindred Group PLC

Gaming Eminence
5 days ago
15 min read

This company profile (as of Aug 2025) covers Kindred Group PLC, one of Europe’s largest online gambling operators and a pioneer in regulated market strategy. Founded in 1997 as Unibet, the group now operates nine consumer brands—including Unibet and 32Red—across 13 local licences in Europe and Australia, with 82% of gross winnings revenue from regulated markets. Its proprietary multi-brand platform and the in-house Kindred Sportsbook Platform (KSP) support product personalisation, local compliance, and scalable operations, while Relax Gaming provides exclusive casino, poker, and bingo content. Following its 2024 acquisition by La Française des Jeux, Kindred has accelerated its withdrawal from unregulated markets to focus entirely on licensed jurisdictions. With strong market share in the Netherlands, a clear pipeline for Finland’s 2027 licensing regime, and ongoing sportsbook rollout, the group is balancing margin pressures and tightening regulations against the advantages of regulatory leadership, exclusive content, and operational scale.

Company Overview

Kindred Group PLC is one of the world's leading online gambling operators, with a clear mission to transform gambling by being a trusted source of entertainment that contributes positively to society. Founded in 1997 as Unibet Group to provide customers with a safer way to place bets in the digital world, Kindred has evolved over more than 25 years to become a diversified gaming operator with annual revenues of GBP 1.2 billion and a solid active customer base of 3.0 million.

Business Model and Value Proposition

Kindred operates an integrated online gambling business model centered on providing customers with a thrilling and safe entertainment experience across multiple regulated markets. The company's competitive advantage lies in its bespoke technology platform, leading brands, and scalable operations that enable it to attract and retain profitable customers while navigating complex regulatory requirements. A key differentiator is the company's focus on locally regulated markets, with 82% of gross winnings revenue coming from jurisdictions with formal licensing frameworks, which reduces operational risk compared to competitors operating in unregulated markets.

The company's value proposition is built on several pillars: sustainable and thrilling entertainment, a multi-brand approach based on local relevance, great customer experiences in digital entertainment, a unique product suite, and a safe and fair gambling experience.

Business Segments and Brand Portfolio

Kindred operates through two primary business segments: B2C (Business-to-Consumer) and B2B (Business-to-Business). The B2C segment represents the core gambling operations, while the B2B segment operates through Relax Gaming, of which Kindred owns 93%.

The company maintains nine consumer-facing gambling brands, with Unibet serving as the flagship global brand that dominates revenue share across most markets. Other significant brands include 32Red, which generates key revenue in the UK market, and various hyper-local casino brands designed to meet specific regional customer preferences.

Kindred provides gambling products across four main categories:

Sports betting through the flagship Unibet brand and proprietary Kindred Racing Platform
Casino & games, which now represents 57% of gross winnings revenue and includes both RNG games and live casino offerings through seven studios
Poker with dedicated customer base and the popular Unibet Open tournament
Other products including bingo and additional gaming offerings

Geographic Footprint and Regulatory Position

The company holds 13 local licenses across Europe and Australia, demonstrating its commitment to operating within regulated frameworks. Key markets include the Netherlands, where Unibet holds an estimated 20% market share, the UK with 3% market share, Finland, and Romania. This diversified geographic presence, combined with the focus on locally regulated markets, positions Kindred as a lower-risk operator in an industry where regulatory compliance is increasingly critical.

The strategic focus on regulation aligns with broader industry trends and regulatory pressures, as evidenced by FDJ's €2.5 billion acquisition offer in 2024, which specifically noted that FDJ does not intend to materially alter Kindred's operations other than exiting unregulated markets with no path to regulation.

Products/Services/Technology

Kindred Group distinguishes itself in the competitive online gambling landscape through a combination of proprietary technology platforms, exclusive content capabilities, and a multi-brand product strategy designed specifically for regulated markets. The company's technology-first approach has become increasingly critical as regulatory restrictions limit traditional bonus-based competition, forcing operators to compete on product experience rather than incentives.

Proprietary Platform Architecture

At the core of Kindred's competitive advantage lies its bespoke technology platform that supports multi-brand, multi-product and multi-geography operations. This architecture enables the company to add new features once and enable them for any or all regions, depending on local market requirements and regulations. The platform's flexibility allows for fast and easy integration of multiple products and features, whether casino games, payment options, customer care, responsible gambling or marketing functionalities.

The platform utilizes Kubernetes technology to ensure infrastructure teams can monitor and manage platform deployments and updates across brands, products and markets much quicker, delivering once yet deploying everywhere. This technological foundation automatically allocates additional resources during high-traffic events, maintaining consistent customer experience across all touchpoints.

Kindred Sportsbook Platform (KSP) - The Strategic Differentiator

Kindred's most significant technological investment is the Kindred Sportsbook Platform (KSP), which moved into live production-testing in early 2024 after three years of meticulous development. Built upon the proven foundations of the award-winning Kindred Racing Platform (KRP) - already live in 12 markets - KSP represents a fundamental shift toward product autonomy.

KSP embraces cutting-edge machine learning, automation and algorithmic decision-making technologies that enable Kindred to evolve in-play betting, create real-time customer relevance, customize rewards, and provide an experience adapted to local market requirements. The platform is already processing thousands of bets on real-life events in live test markets, with plans for rollout across all Kindred markets over time.

The strategic rationale behind KSP includes growing revenue, optimising costs and maintaining security of supply, while enabling the company to quickly meet the changing needs of customers across all markets and control the customer experience. This proprietary capability becomes particularly valuable as tactical development targeting locally regulated markets intensifies across the industry.

Relax Gaming - Exclusive Content Advantage

Kindred's 93% ownership of Relax Gaming, a leading supplier of Slots, Bingo, and Table games, provides a crucial content differentiation strategy. The acquisition enables Kindred to offer additional exclusive games and content while providing full control of poker and bingo products. This vertical integration allows the development of proprietary product portfolios with in-depth solutions customized for Kindred.

Relax Gaming serves as Kindred's exclusive supplier for poker and bingo products across the group, while also operating as a B2B arm that broadens Kindred's position in the value chain. The integration brings both cost synergies and enhanced customer experience through unique content unavailable to competitors.

Multi-Brand Product Strategy

Kindred operates nine consumer-focused gambling brands that provide customers with digital entertainment across sports betting, casino & games, poker, and other products including bingo. The flagship Unibet brand is complemented by eight hyperlocal casino brands, allowing for market-specific positioning while leveraging shared technology infrastructure.

This multi-brand approach is supported by the platform's plug-and-play capabilities, enabling rapid market entry and localization. The technology is purposely built for locally regulated markets, designed to meet differing requirements in every jurisdiction and allowing entry into states with different regulatory requirements in short timeframes.

Advanced Customer Experience Features

Kindred's product differentiation extends to sophisticated customer engagement tools, including BetBuilder functionality that allows customers to create accumulator bets within single matches that Kindred streams. The company has seen tremendous growth in customers placing combinations and accumulators, which prove more profitable than single bets.

The platform enables personalized experiences across products and lobbies, with slot games tailored to players' profiles and preferences. Advanced features include multi-market pricing, offering, and concessions capabilities that safely extend appeal to customers while maintaining regulatory compliance.

Regulatory-First Technology Design

Unlike many competitors, Kindred's technology stack is built with responsible gambling at the fore, featuring comprehensive tools that serve as key differentiators in regulated markets. The platform incorporates extensive responsible gambling features designed to meet the high demands imposed by authorities in the 13 local licenses Kindred holds across Europe and Australia.

This regulatory-focused design philosophy positions Kindred advantageously as the industry continues its shift toward locally regulated markets, where 82% of the company's gross winnings revenue already originates.

Market Position and Competitive Analysis

Kindred Group occupies a distinctive position in the European online gambling landscape as one of the top five online betting and gaming players in Western Europe, with presence in seven of the top ten European markets including the Netherlands, UK, France, Sweden, and Belgium. The company has strategically positioned itself as a leading online gambling operator with a diversified footprint across 13 local licenses in Europe and Australia and operates nine consumer-facing gambling brands.

Market Positioning and Niche Strategy

Kindred's niche positioning centers on its focus on locally regulated markets, with 82% of Gross winnings revenue now coming from locally regulated markets, demonstrating lower operational risk compared to unregulated operations. The company has established particularly strong market positions in key territories, most notably in the Netherlands where Unibet is estimated to have approximately 20% market share and holds the number one position in that market.

The company's multi-brand strategy represents a core differentiator, with each of the nine brands having distinct personality and offering tailored to specific market segments and customer preferences. This approach enables Kindred to attract customers with different needs and provides access to new customer segments that a single brand approach cannot reach alone.

Competitive Advantages and Differentiation

Regulatory Compliance as Competitive Moat: Kindred has built significant competitive advantages through its sector-leading approach to responsible gambling and excellence in compliance, which management views as a source of significant competitive advantage. The company's ability to navigate complex local regulation and deliver compelling customer propositions in regulated markets creates higher barriers to entry for competitors.

Technology and Product Innovation: The company's bespoke technology and scale enable it to attract and retain profitable customers while mastering requirements and complexity. Key technological differentiators include:

Development of proprietary sportsbook platform (KSP) with successful launches progressing according to schedule
Relax Gaming division providing exclusive games and content, reducing cost of sales while enhancing product differentiation
Data science capabilities deployed to create personalized customer experiences through algorithms that ensure customers see the most appropriate content

Scale and Operational Efficiency: With annual revenues of GBP 1.2 billion and a solid active B2C customer base of 3.0 million, Kindred demonstrates the scale necessary to absorb regulatory costs and build sustainable success in complex regulated environments.

Company-Centric SWOT Analysis

Strengths:

Market leadership positions in key regulated markets, particularly Netherlands
Diversified brand portfolio with strong local market positioning
Strong regulatory compliance track record and established relationships with regulators
Proprietary technology platform and exclusive content through Relax Gaming
Financial strength through non-cyclical, cash-generative business model

Weaknesses:

Underperformance in some core markets including Belgium (adverse regulation impact) and Sweden (slower than expected growth)
Margin pressure from regulated market requirements, betting duties, and regulatory compliance costs
Regulatory complexity requiring significant compliance investments and ongoing adaptation

Opportunities:

Finland market opportunity with locally licensed system tabled to come into effect in 2027
Growing addressable market with global online gambling projected to show 10.7% CAGR between 2023-2028
Casino segment growth potential, particularly in multi-product territories where casino markets are significantly larger and less volatile than sports betting

Threats:

Increasing regulatory restrictions including bonus bans, auto-spin bans, and advertising limitations creating competitive disadvantages versus unlicensed operators
Cybersecurity risks with the industry facing ransomware threats, though Kindred has not sustained attacks
Margin squeeze from higher costs due to regulated revenues, betting duties, and compliance requirements

Moat Analysis: Source, Nature, and Sustainability

Source of Competitive Advantages: The primary sources of Kindred's moat stem from regulatory expertise and compliance capabilities, technological scale, and established brand positions in regulated markets. The company's 25+ years of experience leading the shift from offline to online gambling has created deep operational knowledge and regulatory relationships.

Nature of the Moat: Kindred's competitive moat is multi-layered, combining:

Regulatory barriers: Higher compliance costs and complexity create barriers for smaller competitors
Scale economies: Technology platform costs spread across multiple brands and markets
Brand equity: Established customer relationships and brand recognition in key markets
Switching costs: Customer acquisition costs and regulatory approval processes create friction for market entry

Sustainability Assessment: The sustainability of Kindred's moat appears moderately strong but faces ongoing challenges. Regulatory compliance continues to provide sustainable advantages as requirements become more complex, favoring established operators with scale and expertise. However, the moat faces pressure from unlicensed operators who can offer better incentives without regulatory constraints, requiring Kindred to stand out through product experience rather than bonuses.

The company's investment in proprietary technology including the KSP sportsbook platform and Relax Gaming's exclusive content represents efforts to strengthen the technological component of its moat. The trend toward local market regulation generally supports Kindred's positioning, though success depends on regulators maintaining level playing fields and effective enforcement against unlicensed competitors.

Strategy and Growth Initiatives

Kindred Group's strategic direction centers on a fundamental transformation from opportunistic market participation to disciplined focus on locally regulated markets, underpinned by proprietary technology development and operational efficiency gains. Management has articulated clear priorities that emphasize sustainable, profitable growth over revenue expansion at any cost.

Strategic Pivot to Regulated Markets

The cornerstone of Kindred's strategy involves a decisive shift toward locally regulated markets, with management targeting approximately 90% of Gross Winnings Revenue (GWR) from locally regulated markets by end of 2025. This strategic pivot reflects management's conviction that regulated markets offer superior long-term sustainability despite higher operational complexity and costs.

Currently, 82% of Kindred's GWR originates from locally regulated markets, positioning the company ahead of many competitors in this transition. Management believes this regulatory-first approach creates higher barriers to entry and enables sustainable long-term business models, while providing opportunities to influence regulatory frameworks through constructive dialogue with authorities.

Market Exit Strategy and Resource Reallocation

Management has implemented a comprehensive exit strategy from markets lacking clear regulatory pathways. The decision to exit North American operations, announced in November 2023, exemplifies this focused approach. Additionally, Kindred is withdrawing from .com markets, including Norway, following the Board decision on October 14, 2024.

This strategic retrenchment enables resource reallocation to support growth in core regulated markets where Kindred maintains established success records. Management anticipates that exiting loss-making North American operations will enhance overall profitability while allowing concentrated investment in European strongholds.

Technology-Driven Growth Levers

Kindred Sportsbook Platform (KSP)

A critical strategic initiative involves the development of Kindred's proprietary sportsbook platform (KSP), designed to reduce commission-based costs while enabling product differentiation. Management expects KSP to switch from commission-based costs to scalable operating expenses (OPEX), improving unit economics over time.

The platform has progressed through successful launches in several smaller markets, with management confirming readiness for first locally licensed market launch later this quarter. Early performance metrics demonstrate positive activity and retention patterns, solid margin performance, and balanced engagement distribution across sports categories.

Relax Gaming Integration

The Relax Gaming acquisition serves as a fundamental growth lever, providing greater autonomy over casino, poker, and bingo products. Management views this acquisition as enabling genuine differentiation in casino products through exclusive content creation.

Following the exercise of put/call options in October 2023, Kindred's ownership of Relax Gaming rose to over 99%, providing enhanced control and synergy realization. The integration allows Kindred to reduce cost of sales by optimizing supplier mix while leveraging synergies for exclusive games.

Operational Efficiency Initiatives

Management has implemented comprehensive cost reduction programs, including a global headcount reduction of over 300 roles during 2024. These initiatives aim to create a leaner organization while enhancing scalability and improving focus on key growth initiatives.

The efficiency drive targets full year 2024 operating expenses of approximately GBP 245 million, supporting management's ability to achieve profitability targets despite regulatory headwinds in core markets.

Geographic Expansion Strategy

Kindred's geographic strategy prioritizes markets with established regulatory frameworks or clear paths to local licensing. Finland represents a significant opportunity, with management expressing confidence about establishing firm footprint in the Finnish market once local licensing becomes available, potentially by 2027.

In existing regulated markets, management focuses on market share gains rather than market expansion. France has sustained strong momentum, further driven by major sporting events including the Euros and Olympics. The Netherlands, Romania, and Denmark have shown positive performance trajectories, while challenges persist in Belgium and Sweden due to regulatory constraints.

Financial Targets and Performance Commitments

Management established ambitious financial targets, including achieving underlying EBITDA of GBP 250 million by end of 2024. However, the strategic decision to exit .com markets will impact the ability to fully reach this target, demonstrating management's prioritization of strategic positioning over short-term financial performance.

The underlying strategy emphasizes sustainable revenue growth with management confident in their scalable business model as evidenced by the 22% underlying EBITDA margin achieved in recent periods.

M&A Rationale and Future Approach

Kindred's M&A strategy centers on strategic capability building rather than geographic expansion. The Relax Gaming acquisition exemplifies this approach, providing product control and differentiation capabilities essential for competing in regulated markets where bonus restrictions limit traditional competitive tools.

Management's M&A rationale emphasizes acquisitions that enhance compliance capabilities, product differentiation, and operational scalability rather than pure revenue growth opportunities. This disciplined approach aligns with the broader strategic focus on sustainable, profitable expansion in regulated jurisdictions.

Key Acquisition History

Kindred's most significant recent acquisition has been Relax Gaming, a transaction that fundamentally enhanced the company's strategic positioning in the online gambling sector. The acquisition was structured as a multi-phase process that began with Kindred's initial investment in 2013 and culminated in full control by 2024.

Relax Gaming Acquisition Timeline and Valuation

In October 2021, Kindred completed the acquisition of the remaining 66.6% of outstanding shares in Relax Holding Limited and its subsidiaries, gaining control of the leading B2B iGaming supplier. The transaction was structured with a put/call option arrangement that allowed minority shareholders to sell their remaining stakes at pre-defined valuation methodologies beginning in October 2023.

The put/call options were exercised in October 2023, with the transaction completing in June 2024 for a cash payment of £24.3 million. This amount was slightly higher than the initially estimated £23 million on a cash and debt-free basis. Following completion, Kindred's ownership in Relax Gaming increased to over 99%.

Financial Impact and Strategic Rationale

The acquisition also included earn-out provisions tied to performance thresholds. A final earn-out payment of £1.9 million (EUR 2.2 million) was made during Q2 2023 following confirmation of Relax Gaming's 2022 audited performance.

The strategic rationale centered on product differentiation and cost synergies. The acquisition provided Kindred with greater autonomy over its casino, poker, and bingo products while drastically reducing cost of sales. Additionally, it established a scalable B2B business model as Relax Gaming products are distributed to tier-one competitor sites, with B2B revenue growing 24% year-over-year in Q3 2024.

This acquisition represents Kindred's primary strategic investment in recent years, transforming the company from a pure-play B2C operator into a vertically integrated gaming platform with both B2C and B2B capabilities.

Management and Governance

Kindred has experienced significant leadership and ownership changes following the FDJ acquisition in October 2024. The company's governance structure follows the Swedish Corporate Governance Code with a fully non-executive board.

Key Personnel Changes

Nils Andén serves as CEO, having been appointed permanently in February 2024 after serving as interim CEO since May 2023, succeeding Henrik Tjärnström who led the company for nearly 13 years. Patrick Kortman continues as Interim CFO since June 2023. The executive team underwent substantial restructuring in 2023 with the creation of new interim roles including Chief Commercial & Marketing Officer and Chief Finance Operations Officer.

Ownership Structure Transformation

The company's ownership structure was dramatically altered in 2024. La Française des Jeux (FDJ) now controls 91.77% of shares following completion of their public offer in October 2024. Prior to this acquisition, significant shareholders included Corvex Management LP (15.0%), Capital Group (12.1%), and Premier Investissement SAS (3.8%) as of December 2023.

Board Composition Changes

Following FDJ's acquisition, the board underwent complete restructuring in October 2024. Six directors resigned, including Chairman Evert Carlsson and James H. Gemmel (Corvex representative), leaving a five-member board consisting of Pascal Chaffard, Edeline Minaire, Célia Vérot, Heidi Skogster, and Martin Randel.

Governance Considerations

ISS Governance notes the absence of a sustainability board committee and limited disclosure regarding sustainability criteria in variable compensation, though the company maintains independent audit and remuneration committees. The board previously aimed for 50:50 gender diversity in senior management but currently has 63% male and 37% female representation.

Recent Developments

Several significant developments have fundamentally altered Kindred Group's strategic trajectory and investment outlook in recent months, with the most material being the completion of its acquisition by La Française des Jeux (FDJ).

FDJ Acquisition Completion

The acquisition by FDJ reached completion with overwhelming shareholder support, as 91.77% of shareholders accepted the offer by October 11, 2024. Following an extended acceptance period until October 18, 2024, FDJ's total shareholding reached 98.60% of outstanding shares, triggering squeeze-out provisions under Kindred's Articles of Association. Settlement-delivery is expected to occur on October 29, 2024. As a direct consequence, Kindred has applied for delisting of its SDRs from Nasdaq Stockholm on October 24, with the last trading day to be announced pending confirmation from the exchange.

Strategic Market Exit and Financial Impact

In conjunction with the FDJ acquisition, Kindred's Board made a strategic decision on October 14 to exit .com markets, including Norway, that lack a clear path to local regulation in the near future. This decision represents a significant shift toward becoming a purely locally regulated operator, aligning with FDJ's strategic vision. However, this exit will materially impact Kindred's ability to achieve its stated GBP 250 million underlying EBITDA target for 2024, despite management's confidence that the company was otherwise on track to meet this guidance.

Product Development and Regulatory Progress

On the operational front, Kindred's proprietary sportsbook development continues on schedule, with the platform ready for its first locally licensed market launch in Q4 2024. Early performance metrics from the platform demonstrate positive activity and retention patterns, solid margin performance, and expected engagement distribution across various sports with balanced pre-match and in-play betting.

Regulatory developments present mixed implications, with Finland emerging as a significant opportunity as a locally licensed system is expected to take effect in 2027. As one of the last major European markets to implement online gambling licensing, Finland represents substantial growth potential. Conversely, additional affordability measures implemented in the UK during spring 2024 have dampened performance in that key market, with management expressing concerns about potential lower channelisation rates going forward.

Operational Metrics and Advisory Costs

The acquisition process has resulted in GBP 30.9 million in advisor fees recognised in Q3 2024 as strategic review costs. Meanwhile, Kindred's customer protection metrics show the share of revenue from high-risk customers at 3.2% for Q3 2024, representing a slight increase from the previous quarter. Additionally, Relax Gaming continues strong performance with B2B revenue growing 24% year-over-year in Q3 2024, demonstrating the resilience of Kindred's diversified revenue streams.

*Sourcing & Methodology

This article focuses on Kindred Group PLC and draws on multiple verified sources, including Kindred’s 2024 Annual & Sustainability Report, 2025 interim results and earnings-call transcripts, Nasdaq Stockholm disclosures, and regulatory filings and licence registers (e.g., UK Gambling Commission, Kansspelautoriteit, Spelinspektionen, Malta Gaming Authority). We also reference audited M&A disclosures, regional performance commentary, and recognised market research. Insights were supplemented by interviews with former Kindred product and operations leads, plus comparative benchmarking against Betsson, Flutter, Entain, and bet365. Particular attention is given to Kindred’s strategic pivot to regulated markets, Netherlands market leadership, Finland entry potential, the rollout of its proprietary Kindred Sportsbook Platform (KSP), integration of Relax Gaming, and post-acquisition strategy under La Française des Jeux ownership. All competitive assessments, market-share indicators, and transaction details were validated against publicly available filings and investor presentations.

Disclaimer: This article is intended for informational purposes only and does not constitute financial advice, investment guidance, or an endorsement of any company or strategy. While Gaming Eminence strives for accuracy and fairness, readers should independently verify any material facts before making business or investment decisions.