In a perfect synergy of hardware and software, Australian slot machine manufacturer Aristocrat today (October 18) confirmed it has bought gaming software developers Playtech in a deal worth £2.7 billion (US$3.7bn/€3.2bn) – the cash equivalent of 680p per share, a premium of over 55 per cent.
“This transaction marks an exciting opportunity in the next stage of growth for Playtech and delivers significant benefits to our stakeholders, customers, shareholders and our incredibly talented people,” said Playtech’s Chief Executive Mor Weizer.
“[It] has the potential to enhance our distribution, our capacity to build new and deeper relationships with partners and bolsters our technological capabilities.”
The merger builds one of the largest B2B gaming firms in the world.
It supercharges Aristocrat’s move into online gambling, first started in 2013, and opens up a rich vein of deep mining the Real Money Gaming financial space as casual and social games become, increasingly, monetized.
The deal is expected to finalise in Q2 next year and industry insiders say it should deliver spectacular synergies by full-year merger, particularly given the booming American sports betting and RMG scene.
“The recommended offer is a full and fair value and reflects the strategic potential of the combination in a global gaming sector that continues to migrate online, as a result of technology and entrenched consumer-driven change,” said Aristocrat’s Chief Executive Trevor Croker.
And he stressed: “Adding Playtech’s talented team with Aristocrat’s established strengths and momentum will create a true industry leader in the global online RMG space, particularly in terms of our B2B capabilities.”
Just for starters, the combined Omni-channel will operate in 24 countries and 30 regulated jurisdictions with 170 global licensees.