New takeover talk for Playtech

The second largest shareholder in Playtech could reportedly be about to make an official takeover approach after investors in the giant online casino games developer yesterday rejected an analogous $2.8 billion offer from Aristocrat Leisure Limited.

According to a Wednesday report from Sky News, Asian boutique investments firm TTB Partners Limited already holds a 4.97% stake in the London-listed iGaming pioneer but is now believed to be preparing to lodge a formal purchase approach on behalf of another unnamed party. This Hong Kong-headquartered company was established by former Merrill Lynch banker Jonathan Bond in association with ex-Goldman Sachs partner Teresa Teague and is purportedly said to be ‘serious’ about completing the envisioned Playtech deal.

Exclusive exception:

However, TTB Partners Limited recently advised compatriot Gopher Investments on its own ultimately-futile attempt to buy Playtech and as such now reportedly requires the target’s board to release it from consequent restrictions that prevent it from lodging its own formal takeover offer. Sky News disclosed that this request could well be granted within the next few days to pave the way for a fresh fusion attempt from as early as next week.

Prominent player:

Established in 1999, Playtech develops and distributes online casino software, games and services for 170 licensees in 30 jurisdictions around the globe and reportedly saw its business improve last year as the coronavirus pandemic kept aficionados in their own homes and away from more traditional land-based gambling establishments. The enterprise moreover has some 7,000 employees located at offices in 24 nations with its products purportedly covering every key iGaming vertical including sportsbetting, bingo and poker.

Charitable clock:

Sky News reported that Gopher Investments had already agreed to purchase the Finalto financial trading arm of Playtech for approximately $250 million but saw its larger takeover offer ultimately stall due to the demands of the target’s short timetable. But with the proposition from Aristocrat Leisure Limited now out of the way, TTB Partners Limited could purportedly be granted the time it needs to prepare a successful bid for the iGaming enterprise believed to have an overall market valuation including debts of approximately $3.4 billion.

Investor interest:

For its part and the Reuters news service used its own report to disclose that the revelations regarding TTB Partners Limited pushed the individual value of shares in Playtech up to as high as £6.67 ($9.07) earlier today, which represented an overnight improvement of some 14%. Nevertheless, this latest rate is still about 2% below the £6.80 ($9.25) price that had been offered as part of the unsuccessful Aristocrat Leisure Limited takeover bid.