Australian slot machine manufacturer Aristocrat Leisure has made an offer to buy gaming giant Playtech in a deal worth €3.19 billion ($3.7/£2.7 billion).
The offer values the British gaming software developer at 680 pence (€8.05/$9.33) per share which is a 58% premium on the company’s last closing price on October 15th 2021. As a result of the offer, shares in Playtech have risen by as much as 57% on Monday to 675 pence on the London Stock Exchange.
The deal will be funded in part by a share sale that Aristocrat hopes will raise €832 million ($960/£700 million). This stock will be sold at an 8.6% discount on the company’s last closing price on Friday October 15th.
Speaking of the deal, Aristocrat CEO and managing director Trevor Croker said:
“The proposed combination would bring together Aristocrat’s world-class gaming content and customer and regulatory relationships with Playtech’s industry leading global online RMG (real money gaming) platform (B2B) and European B2C footprint.
Australian Gaming Company Aristocrat Offers to Buy PlayTech for €3.19 Billion Australian Gaming Company Aristocrat Offers to Buy PlayTech for €3.19 Billion
Dave Thomas, head of data intelligence at The US Casino Guide noted that Whilst the business has made significant progress, most notably in the Americas, Aristocrat’s proposal provides an attractive opportunity for shareholders to accelerate Playtech’s longer-term value.
Meanwhile, Mor Weizer, CEO of Playtech, said of the proposed acquisition:
Australian Gaming Company Aristocrat Offers to Buy PlayTech for €3.19 Billion“This transaction marks an exciting opportunity in the next stage of growth for Playtech, and delivers significant benefits to our stakeholders, including our customers, our shareholders and our incredibly talented people. This deal has the potential to enhance our distribution, our capacity to build new and deeper relationships with partners, and bolsters our technological capabilities.
The combination of our two companies builds one of the largest B2B gaming platforms in the world, with the people, infrastructure and expertise to provide our customers with a truly best-in-class offer across all areas of gaming and sports betting.”
“In recent years, Playtech has successfully repositioned its world leading gambling technology and operations, expanding in strategically important regulated markets and driving major online B2B revenue growth.”
Based in London, Natasha is a former sports journalist with experience working for some of the biggest athletes & brands in the world of sports and iGaming.