Online betting business Bwin accepts GVC takeover bid
4 September 2015
Online wagering company Bwin has accepted a ₤ 1.1 bn takeover deal from GVC Holdings in preference to rival bidder, 888 Holdings.
Bwin had actually originally agreed to an bet9ja's welcome offer from 888, worth about ₤ 900m, however GVC, the owner of Sportingbet, resisted.
Bwin - whose brands include Partypoker, Partycasino and Foxy Bingo - stated GVC's deal was "reasonable and affordable".
Bwin chairman Philip Yea said in a company video that shareholders were split about abandoning the yohaig code 888 bet9ja's welcome offer.
"There was a quite even split of those that expressed views one way or the other. But we likewise had a significant block of shares that mored than happy to support the board on its deliberations,"
GVC's deal, external of 25p in money and 0.231 new GVC shares concerns almost 130p per Bwin.party share based upon Thursday's closing price.
Reducing expenses
Bwin stated the GVC offer provided ₤ 120m extra value compared with the 888 bid.
The business said they were also swayed by greater expected savings and GVC's track record of integrating acquisitions, such as that of Sportingbet in 2013.
Earlier this promotion code week it was reported that GVC was prepared to launch a hostile quote for Bwin.
The 888 board validated it had withdrawn from the bidding procedure stating it can not see sufficient worth in Bwin to increase its offer.
Stricter guidelines are pressing online gambling companies to merge to try and minimize operating expenses.
Size is also viewed as important to ensure competitiveness in an online market buoyed by the use of tablets and mobiles.
Shares in Bwin, increased in early trading in reaction to the news, but have given that fallen.
GVC shares shut down by almost 4%. Meanwhile 888 shares closed up by 0.31%.
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27 July 2015
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18 May 2015
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