This news comes on the same day the operator posted its results for Q1 2022, when revenue increased 2% year-on-year to €98.5m ($103.6m). LeoVegas CEO Gustaf Hagman defines the quarter as one of "high profitability and a 44% growth in sport," driving revenue figures higher.
MGM Casino Next Lion — a subsidiary of MGM Resorts — has offered to purchase all shares in LeoVegas and, with approval from LeoVegas’ Board of Directors, it looks likely the company’s shareholders will accept MGM Resorts' public offer.
The acceptance period for the offer is expected to commence on 3 June 2022 and expire on 30 August 2022.
Despite its intention to purchase all shares in LeoVegas, it is believed that a deal could be completed should MGM Resorts acquire a minimum of 90% of outstanding shares in LeoVegas.
LeoVegas notes that any deal is subject to regulatory and governmental clearances, although the offer is not conditional upon any complex financing strategy.
MGM Resorts has obtained a statement from the Swedish Securities Council, confirming its incentive plan for existing LeoVegas employees is compatible with Swedish takeover rules.
In another nod of approval towards MGM Resorts' complete takeover, LeoVegas directors have permitted the operator to carry out a due diligence review of LeoVegas in the first step towards a complete takeover.
This is not the first acquisition offer LeoVegas has received but it is the most superior, clearly; one LeoVegas believes best fits when considering market and industry trends, and the alternative strategies offered with such a deal that would otherwise be unavailable.
LeoVegas believes the offer from MGM Resorts would best serve the operator, which is part of an industry with high innovation pace, constantly evolving regulations and new consolidations.
MGM Resorts (Las Vegas) and LeoVegas (London) are both several-time winners at the Global Gaming Awards.
