3rd Feb 2022 09:31
(Alliance News) - Playtech PLC said on Thursday that it has received an approach for a potential all-cash takeover offer from an affiliate of a former suitor.
Playtech said it has released TTB Partners Ltd from UK takeover restrictions to entertain a potential bid for the entire FTSE 250 company.
One day after Playtech shareholders voted down the GBP2.1 billion acquisition offer from Aristocrat Leisure Ltd, the gambling software firm was approached by TTB Partners, on behalf of a new group of investors that it will form and advise. The Hong Kong-based finance company expressed interest in making an offer for Playtech, and asked for its consent to do so.
The Playtech shareholder vote on Wednesday that fell short of the 75% minimum required to approve the Aristocrat deal was blamed by Playtech and Aristocrat on a group of Asia-based shareholders.
TTB Partners is an affiliate of Gopher Investments, which had previously confirmed it would not make an offer for Playtech. As a result, TTB Partners was prevented from making an offer under the restrictions of the UK takeover code for a period of six months.
Gopher is in the process of buying Playtech's financial trading arm Finalto for an enterprise value of USD250 million but had decided against making an offer for the entire company.
Playtech confirmed on Thursday its board had voluntarily lifted the takeover restrictions to enable an offer from TTB. Playtech said that, if any offer is to be made by TTB, it is likely to be in cash.
On Wednesday, in announcing that its shareholders were likely to reject the Aristocrat deal, Playtech had suggested that it would consider selling its constituent parts, resulting in a break-up of the company. Playtech is "evaluating attractive M&A proposals it has received from third parties in respect of [its] B2B and B2C businesses," it said on Wednesday, providing no update on these alternative approaches on Thursday.
Playtech's share price rose 13% to 662.50 pence each in London on Thursday morning, increasing the company's market capitalisation above GBP2 billion.
By Elizabeth Winter; [email protected]
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