Live Casino world-leading provider, Evolution Gaming, made an aggressive move in terms of growth by making a public offer to acquire another industry giant, the Swedish powerhouse, NetEnt. The board of directors of NetEnt unanimously accepted the bid and will recommend to the company’s shareholders.
According to the details of the deal that were made public, Evolution offers 0.1306 shares for each share in NetEnt, pricing each tock share at 79.93 SEK. The whole sum of the bid is going to reach approximately 20bn SEK. The offer per share is 43% of the closing price of NetEnt share on Nasdaq Stockholm on June 23, 2020.
The live casino provider stated that the price isn’t negotiable and there won’t be any improved bid. NetEnt will be granted a three-month acceptance period starting on August 17, 2020. By the time of completion Evolution’s stock share will represent 90% of the total number of shares.
If NetEnt shareholders accept the offer, subsequently Evolution becomes the owner of 90% of the Swedish provider’s shares and they can initiate the process of buy-out, according to the guidelines of the Swedish Companies Act.
Mathias Hedlund, chairman of NetEnt, pointed out that the deal is going to change the landscape of the iGaming industry as the top RNG provider and the top Live Casino supplier will merge their businesses. NetEnt’s board of directors believes that the decision is strategically sound and will open new opportunities in emerging markets in regions like North America.
Jens von Bahr, chairman of the Evolution Gaming explained that the deal is part of the strategy of the company to become the global online casino industry leader. He added that the combination of the companies’ gaming libraries will create a world-class portfolio. Von Bahr explained that NetEnt’s established position in the US and Evolution’s first-to regulated-market strategy will put the company in the driver’s seat when the regulation of North American markets is finalized.