Gamesys Group will be part of the Bally’s gambling empire should the agreement to acquire it by the Bally’s Corporation which currently owns and manages 10 casinos across 6 states, a horse racetrack, and 13 authorized OTB licenses in Colorado.
The terrestrial casino operator is pursuing a goal to expand its digital presence by purchasing the U.K. online gambling software developer Gamesys Group for approximately $2.7 billion USD. According to the Bloomberg news service, the firm revealed that the arrangement would involve a payment of about $2.54 for each of Gamesys Group’s outstanding shares, representing a 13% premium when compared with the London based firm’s last closing price. There was a substitute arrangement proposed where Bally’s Corporation explained that it has also offered investors in Gamesys Group the alternative option of exchanging their shares for its own at a rate of 0.343 to one, which would see these individual interests valued in the area of $2.29.
As usual the deal must be approved by a majority of shareholders before regulatory approvals are concluded. Robin Tombs, Andrew Dixon and Noel Hayden founders of Gamesys Group and investor HG Vora Capital Management LLC have publicly endorsed the arrangement.
Twin River Worldwide Holdings, Inc. changed its name to the Bally's Corporation on November 9, 2020. The New York listed operator has additionally been on quest for acquisitions of late after agreeing to a number of new deals.
Once the deal goes through the regulatory and shareholder approvals Bally’s Corp. has revealed that the current Gamesys Group’s Chief Executive Officer, Lee Fenton will serve as head for the larger firm. Bally’s purportedly also announced that its own CEO, George Papanier, would subsequently remain as director with responsibility over its retail casino operations and joined along with two members of Gamesys Group on the board of directors.
Bally’s Corporation stated, “Gamesys Group’s proven technology platform alongside its highly respected and experienced management team, combined with the United States market access that we provide, should allow the combined group to capitalize on the significant growth opportunities in the United States sports betting and online markets.”