Playtech confirms Finalto takeover approach

Post Views: 409

Playtech Plc has entered discussions with an ‘Israel based consortium’ with regards to the sale of its Finalto financial trading unit.

The FTSE250 technology group issued a short statement confirming media speculation that it had entered talks to offload Finalto to a consortium formed by Barinboim Group, Leumi Partners Limited, The Phoenix Insurance Company Limited and Menora Mivtachim Insurance.

Playtech said it was reviewing a cash offer from the Consortium of up to $200 million, of which $170 million will be payable on completion of the deal. It added that approximately US$110 million of capital required to run the business will be transferred with the business upon any sale.

“Whilst discussions are progressing, there can be no certainty that any transaction will be forthcoming nor on what terms it would occur,”- the statement read.

Undertaking a group-wide review in 2019, Playtech governance placed all ‘non-core assets’ under sale in pledging to its investors that the company would return its focus towards gambling having seen its share price tumble from its 2017 highs.

Finalto is the latest asset of Playtech’s 2017 multi-million M&A expansion into financial trading and FX, in which the company acquired TradeTech, Markets.com, MarketsPro and CFH Trading.

Further disposal of non-core assets saw the company divest its casual games studio YoYo Games to Norwegian games publisher Opera for $10 million.

Source: sbcnews.co.uk

About Post Author

Iwo Bulski

Issues related to the gambling business is engaged in more than 30 years. My empirical experience gives me the opportunity to present events and companies from this business with full knowledge and industry knowledge.

See author's posts