Playtech Now Expects to Close Finalto Sale by Mid-July

Friday, 01/07/2022 | 06:35 GMT by Arnab Shome
  • The company previously targeted to close the deal by June 30.
  • It is selling the financial division to Gopher for $250 million.
playtech

Playtech (LON: PTEC) announced on Thursday that it is planning to close the sale of Finalto to Hong Kong-based Gopher Investments by mid-July, extending from the previously planned June 30.

“Playtech plc confirms that the proposed all-cash sale of its financial trading division to Gopher Investments is now expected to close early to mid-July 2022,” the company stated in an official announcement.

Earlier, Playtech confirmed that it has already received all the necessary regulatory greenlights necessary for the sale of Finalto. "All regulatory approvals have been received and the completion statement will be finalized in accordance with the Sale and Purchase Agreement," it added.

Gopher made a $250 million all-cash offer for the acquisition of Finalto. The offer was approved by Playtech shareholders in December after they rejected another acquisition bid by a Barinboim Group-led consortium.

Simplifying Business Strategy

Playtech primarily provides technology for online gambling platforms. Its financial division, Finalto is one of its prized divisions, which manages retail trading brands like Markets.com. The sale came as the parent company wants to simplify its business strategy.

Additionally, the technology provider is in expansion mode, and it is focusing on various markets. It reported a 12 percent revenue jump in 2021 as both B2B and B2C businesses strengthened along with an EBITDA of more than €100 million in the first quarter of 2022.

Meanwhile, Playtech is in talks with TTB Partner, which happens to be the parent of Goher, for a takeover deal. Despite months of negotiation, the two are yet to reach an agreement, but the deadline for that has been set as July 15.

Furthermore, Playtech shareholders declined a previous offer made by Australia’s Aristocrat Leisure, which offered £2.7 billion for the takeover.

Playtech (LON: PTEC) announced on Thursday that it is planning to close the sale of Finalto to Hong Kong-based Gopher Investments by mid-July, extending from the previously planned June 30.

“Playtech plc confirms that the proposed all-cash sale of its financial trading division to Gopher Investments is now expected to close early to mid-July 2022,” the company stated in an official announcement.

Earlier, Playtech confirmed that it has already received all the necessary regulatory greenlights necessary for the sale of Finalto. "All regulatory approvals have been received and the completion statement will be finalized in accordance with the Sale and Purchase Agreement," it added.

Gopher made a $250 million all-cash offer for the acquisition of Finalto. The offer was approved by Playtech shareholders in December after they rejected another acquisition bid by a Barinboim Group-led consortium.

Simplifying Business Strategy

Playtech primarily provides technology for online gambling platforms. Its financial division, Finalto is one of its prized divisions, which manages retail trading brands like Markets.com. The sale came as the parent company wants to simplify its business strategy.

Additionally, the technology provider is in expansion mode, and it is focusing on various markets. It reported a 12 percent revenue jump in 2021 as both B2B and B2C businesses strengthened along with an EBITDA of more than €100 million in the first quarter of 2022.

Meanwhile, Playtech is in talks with TTB Partner, which happens to be the parent of Goher, for a takeover deal. Despite months of negotiation, the two are yet to reach an agreement, but the deadline for that has been set as July 15.

Furthermore, Playtech shareholders declined a previous offer made by Australia’s Aristocrat Leisure, which offered £2.7 billion for the takeover.

About the Author: Arnab Shome
Arnab Shome
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About the Author: Arnab Shome
Arnab is an electronics engineer-turned-financial editor. He entered the industry covering the cryptocurrency market for Finance Magnates and later expanded his reach to forex as well. He is passionate about the changing regulatory landscape on financial markets and keenly follows the disruptions in the industry with new-age technologies.
  • 6365 Articles
  • 80 Followers

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