Antine, a UK gambling group behind Ledbrox Coral, has rejected a proposal by US casino operator operator MGM Resorts for a 8 8 billion takeover, arguing that it “evaluates” the company significantly.
In a statement Monday, the FTSE 100 company, which also owns sports-betting site Brin and online gaming group Partipoker, added that it had requested more information from MGM on “strategic rationale for the merger of the two companies.”
The owner of Las Vegas Bellagio Casino, MGM’s approach is to capture the U.S.’s share of the fast-growing online gambling and sports betting market.
Under the takeover proposal, UK group investors will receive 0.6 MGM shares, with their Antine shares valued at 1,383p – a 22 per cent premium to its closing price on New Year’s Eve. Antine In Shares, formerly known as GVC, rose more than 25 percent in early trading on Monday.
MGMA has indicated that a limited partial cash option will also be made available to Antine shareholders, the UK group said.
Companies seeking to reduce the exposure to increasingly stringent regulations in mature markets are more likely to bet on U.S. A promise has become land. At the same time, the U.S. In the traditional land-based casino operators, whose dells had fallen just before the epidemic, they sought the expertise of European operators to grow their business boo naline.
MGM and Antenna are partners in a 200 200 million joint venture to acquire sports-betting opportunities in the US from 2018. The pair increased their investment in the player platform, called Roar Digital, from 4 50,450 million last year.
Speculation that MGM could go ahead with the acquisition of the antenna has grown following the ના 2.9bn acquisition of rival casino operator operator Caesar Entertainment’s own sports-betting partner, UK bookmaker William Hill.
Anton, who recently re-appointed after the appointment of a new chief executive, said he believes he is a U.S. citizen. Sports-betting could take the lead in the market, with estimates that revenue could reach 20bn by 2025 – about લગભગ 1.4 billion a year.
Greg Johnson, an analyst at Shore Capital, said MGM’s proposal would help Antenna’s core business and U.S. Underestimated the size of the opportunity in and he also struggled to see the rationale for a large-scale Entline antenna to connect with MGM, which is primarily brick-operated. And mortar sites.
Investment bank Davy analysts The total value of Antein’s business, including its stake in the joint venture, was estimated at approximately 13 13.2bn, “but on a fixed U.S. addressable market basis.”
The MGM proposal has been backed by billionaire mogul Barry Diller’s IAC group and follows all previous cash proposals of about 10 10 billion, which people briefly mentioned in the case.
Introducers said Mr Dealer’s IAC, a casino operator investing b 1bn in MGM last year to boost operator’s online business, supported the bid for the antenna and was willing to raise an additional $ 1bn to fund the takeover. Said people familiar with the proposals.
U.S. David Caesar, a former Caesar executive with extensive expertise in the gaming regulatory environment, was recently hired by the UK group’s U.S. Was added to the board of directors of the Antine to help evaluate its prospects.
Mr Dealer, who started the Fox television network for Rupert Murdoch before building his own broadcast and digital media empire, said in August that IAC’s experience could contribute to the growth of MGM’s gline business.
The IAC news site is owned by online and digital media brands, including The Daily Beast, video streaming website Vimeo, and home improvement site Angie.
No MGM or IAC could be reached immediately for comment on Monday.
Under the UK’s takeover rules, MGM has a pay offer until 1 February.
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