Playtech Stands By Aristocrat Deal
Table of contents
The online gambling provider, Playtech, has made an announcement that it stands by Aristocrat deal and has responded to speculation about a counter bid from existing shareholder Gopher Investments.
Sky News has reported that Gopher, which has 5% shareholding in Playtech, will offer a 3 billion pounds counteroffer, making a bidding war against rival Aristocrat Leisure. For now, Playtech has recommended Aristocrat’s offer of 2.7 billion pounds as a bid to investors, which is a decision that was made before Gopher has shown interest in offering a deal for the online casino provider.
Playtech made an announcement with more details that on October 21, which was three days after following the recommendation of Aristocrat’s deal, Gopher was also considering this online casino gambling situation as an opportunity. Therefore, Gopher asked for information in order to explore a possible offer for all share capital of Playtech, as one of the best in the online casino industry.
Playtech stands by the previous investor recommendation of Aristocrats 680p per share cash offer since the interest from Gopher is still at an early stage. That is why it is still unclear whether Gopher will really make an offer or on which terms.
How Aristocrat will answer is yet to be seen since it has to fulfill several parts to acquire the online casino magnet, including shareholder approval of Finalto, which is Playtech’s financial brokerage. And Finalto’s sale is also not finished since it also is between a bidding war.
On the other hand, Aristocrat has confirmed that it definitely has secured rights on the 865 million pounds equity raising to secure an all-cash deal and clear the already existing debt of 600 million pounds of Playtech. The online casino players are waiting to see what is going to happen next, as bidding offers can change the course of things pretty quickly.
Source: ‘’Ted Menmuir’’, ‘’Playtech Stands By Aristocrat Deal As Gopher Eyes Bidding War’’, ‘’ sbcnews.com.uk’’ November 7, accessed November 8, 2021. https://www.sbcnews.co.uk/asia/2021/11/07/playtech-stands-by-aristocrat-deal-as-gopher-eyes-bidding-war/