Scout Gaming Group’s Andreas Ternström has resigned from his job as chief executive officer six years after he was appointed in the leading position within the company. The Swedish businessman’s decision comes ahead of some major restructuring. His temporary replacement will be the company’s current chief financial officer Niklas Braathen.
Ternström, Expected to Leave the Group
Braathen brought thanks to Ternström for his services and important contribution to the growth of the company over the years. He also expressed the group’s “big appreciation” for his “great commitment”. At the same time, the new CEO described Ternström’s decision to leave the company as an appropriate one in the context of the company’s poor financial performance recorded in the past months.
Like many other companies worldwide, Scout Gaming received a strong blow in the context of the war in Ukraine that passed the 100-day milestone. The group reported a significant 20% revenue drop in the first quarter of the year in relation to its gaming operations.
Big changes are necessary and the group is getting ready for a major transformation and reorganization in terms of operations. Ternström’s decision to step down is just one of the switches that needed to be turned in order for the group to redirect itself in a new direction.
Ternström Will Remain Close to the Company
Ternström will, however, remain close to the Stockholm-listed Business-to-Business fantasy sports supplier as he will continue to be one of its shareholders. He also expressed his intention to bring more of his contribution to the group’s growth in the future by remaining available to the group in any matter. He is expected to offer security to the team of managers, the board, and the organization as a whole.
Ternström also expressed his gratitude towards all his co-workers and partners while bringing special thanks to his “talented and courageous” colleagues in Ukraine who kept going in spite of the ongoing war and the past two years marked by a global pandemic.
The split, that went into effect on Friday right after its announcement, caused Scout Gaming Group’s shares to close 0.36% higher on the Stockholm Stock Exchange. At the beginning of April, Bet365 partnered with Scout Gaming Group in order to get access to its fantasy sports products. In March, the company chose Nuvei as its preferred payment provider for the US region as a means of expanding its daily fantasy sports platform FanTeam.