Supplier GAN has announced that gaming machine manufacturer Sega Sammy has acquired the company.
As part of the deal, each of GAN’s issued ordinary shares will be converted into the right to receive in cash $1.97 per share, which reflects a premium of 121% over the closing price of GAN’s ordinary share on November 7, 2023, the last trading day prior to this announcement.
The merger is subject to approval of GAN’s shareholders.
Chairman and Interim CEO of GAN commented on the merger: "After a thoughtful review of value creation opportunities available to us, we are pleased to have reached this agreement with SSC.
"Market share concentration in the US B2C space, a slower than expected adoption of regulated online gaming in the US, along with changes to key customer contracts make the near-term operating environment challenging without ample capital resources.
"Sega Sammy has those resources and GAN is a strategic complement to their existing gaming portfolio. We believe this all-cash offer, at a substantial premium to recent trading prices, is the value-maximizing path for our shareholders.”
Towards the end of October, GAN had its licence approved by Nevada game regulators to provide its sports betting technology.
