Dart's increased Evolution stake triggers mandatory takeover offer under Swedish law

Kenneth Dart, the billionaire owner of Solo Cup Company, has boosted his holding in Evolution to 30.02% through his wholly owned entity Candle Lake Ltd, a move that obliges him to launch a formal bid for the Swedish iGaming supplier under the country's takeover regulations.

The stake increase, recorded on 24 July, pushes Dart and Candle Lake past the 30% threshold set out in Chapter Three of the Swedish Act of Public Takeovers. The law now gives Candle Lake four weeks either to submit a public acquisition offer for Evolution or to reduce its stake back below the triggering level. A competitive price is not required – the bid simply needs to match the highest price Candle Lake has paid for Evolution shares in the preceding six months.

Potential privatisation

Should the takeover proceed, Dart could take Evolution private, fundamentally reshaping the supplier's ownership structure. Dart's gambling interests already extend beyond Evolution: Candle Lake also holds a 27% stake in Flutter Entertainment. The billionaire's renewed focus on Evolution comes shortly after the company resolved a protracted regulatory dispute in the UK.

Regulatory settlement context

Evolution recently reached a £4.75m settlement with the UK Gambling Commission (GC) over anti-money laundering failures. The GC had identified that Evolution supplied its live casino content to six unlicensed websites accessible to UK players, a breach that even triggered consideration of a licence suspension. The settlement, one of the largest of its kind for the supplier, closes a significant regulatory chapter.

Evolution said earlier this month that it had fully co‑operated with the GC during the review, and that it continually strengthens technical safeguards and procedures – including enhanced ring‑fencing measures. The company reaffirmed its commitment to compliance spending and constructive engagement with regulators.

Chief Executive Officer Martin Carlesund stated: “At Evolution, we always want to do what is right, and it is not acceptable that six unlicensed sites offered Evolution content in the regulated UK market.” He added that the company does not want traffic from unlicensed operators and will act quickly to address any such situation.

The GC settlement is likely to influence Candle Lake's assessment of Evolution as a takeover target over the coming weeks.