NeoGames, an online gaming solutions provider, announced its shareholders had approved the sale of the company to slot machine manufacturerAristocrat Leisure.
According to a news release, the shareholder approval is the first of two required to complete the $1.2 billion deal.Should all go well, the deal is expected to be complete during the first half of fiscal year 2024.
First of two shareholder approvals completeIn May, Aristocrat announced it would pay $29.50 per share in an all-cash transaction. At the time, the $29.50 per share price represented a 104% premium over the volume-weighted average price of NeoGames’ shares.
In a statement released in May,Moti Malul, CEO of NeoGames, said:
“I am tremendously proud of our entire team at NeoGames, as together we have established our leadership position, driving our success across iLottery, iGaming, and online sports betting.
“We are delighted that the team at Aristocrat recognizes the significance of what we have built, and the strategic opportunity to combine our complementary businesses. We firmly believe that this Transaction represents a great outcome for all of NeoGames’ shareholders, customers and employees.”
Several moving partsThe deal includes several moving parts. Once complete, NeoGames will transfer the following to Aristocrat:
Its statutory seatRegistered officeSeat of central administration from Luxembourg to the Cayman IslandsIn addition, NeoGameswillbecome a privately owned firmand no longer be listed on any public market.
John E. Taylor, Jr., chairman of the NeoGames Board of Directors, said:
“The NeoGames team has built a great company with a strong platform and differentiated assets and we are pleased that Aristocrat recognizes the value we’ve created as a leader across iLottery, iGaming and online sports betting.”
Taylor continued by saying:
“After careful consideration, the Board determined that Aristocrat’s proposal provides shareholders with compelling value, further validating the strength of the business that NeoGames has built. We are pleased to have reached this agreement, which we believe benefits all of NeoGames’ shareholders as well as our various stakeholders.”