4th Aug 2021 18:25
Playtech PLC - Isle of Man-based gambling software development company - Responds to release by Finalto suitor Gopher Investments on Tuesday, where it called for Playtech's shareholders to reject a rival's offer for the financial trading unit.
Playtech had announced in May that it had agreed to sell its Finalto business to a consortium led by Barinboim Group and members of unit's management team, for up to USD210 million.
Gopher, which has a 5.0% stake in Playtech, then made its own USD250 million offer for Finalto. But Playtech decided to stick with the original deal, saying Gopher's bid was non-binding and that it was not clear on "Gopher's ultimate ownership and funding structure, source of funds or ability to obtain the required regulatory clearances."
Gopher said it was "highly disappointed with the board of Playtech's decision not to change its recommendation."
"Gopher responded promptly to an initial information request from the board, relating to Gopher's financing and its high confidence of regulatory approval," the firm said.
In response to Gopher, Playtech said it did not recognise the company's characterisation of the chain of events, and said that Gopher's bid was uncertain in terms of deliverability.
In addition, Playtech rebuffs Gopher's claim that "Gopher understands that Playtech may have received interest in Finalto from other potential acquiring parties since the date of adjournment", confirming that it is not aware of having received any such interest.
Current stock price: 371.40 pence
Year-to-date change: down 7.4%
By Dayo Laniyan; [email protected]
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