License: Pixabay, Free to use, Author: Edar
Aristocrat Leisure has announced its plans to acquire NeoGames for $1.20bn in an all-cash transaction. Under the agreement, Aristocrat will pay $29.50 per share, which is a premium of 104% over the volume weighted average price of NeoGames shares for the three months leading up to 12 May, the last trading day prior to the deal.
The deal is subject to regulatory approval and customary closing conditions, as well as approval from NeoGames shareholders. The agreement also states that NeoGames will move its statutory seat, registered office, and seat of central administration from Luxembourg to the Cayman Islands, and will merge with an Aristocrat subsidiary, becoming a wholly owned subsidiary of Aristocrat.
NeoGames' board unanimously approved the deal, and shareholders who hold 20,382,242 shares, which represents about 61% of the outstanding shares, have already agreed to vote in favor of the acquisition. If approved, the transaction is expected to close within the next 12 months.