Playtech shareholders will each be due £6.80 per share ($9.35) under the terms of the acquisition. The deal would thereby value Playtech's shares at approximately £2.1bn/$2.9bn on a fully diluted basis.
During the investor presentation, Aristocrat noted that GGR from online RMG should reach $80bn in 2021 and $112bn by 2025, and the acquisition of Playtech would accelerate the company’s growth strategy.
“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 platform (B2B) and European B2C footprint,” said Aristocrat CEO Trevor Croker.
“The business will be ideally positioned to unlock sustainable shareholder value by seizing opportunities in the fast-growing global online RMG segment as they continue to open up, particularly in North America.
“The proposed acquisition continues Aristocrat’s approach of investing in medium to long-term growth and we are extremely excited by the opportunities that this will bring for our shareholders, people, customers, and players.”
To help with the acquisition, Aristocrat plans to raise AU$1.3bn, with investors able to buy new shares at a price of AU$41.95 per share. Aristocrat added that Playtech’s board and its largest shareholder with close to 21% stake support the proposed acquisition, but currently, there is no official confirmation from Playtech regarding the deal.