The land-based casino giant MGM Resorts International has commenced a recommended public tender offer for 100% of the shares of Swedish iGaming and mobile sports betting company LeoVegas AB, at a value reported to be US$607m (€577m).
The acquisition is to be financed with existing cash, with an acceptance period for the offer expected to commence in June and expire in August 2022. A statement from MGM Resorts read: “An offer document regarding the offer is expected to be made public shortly before the commencement of the acceptance period. Assuming that the offer is declared unconditional no later than around end of August 2022, settlement is expected to begin around early September 2022. The offer is subject to certain regulatory approvals, the receipt of valid tenders of more than 90% of LeoVegas’ shares and customary closing conditions. It is expected to be completed during the second half of fiscal year 2022.”
MGM Resorts believe that this acquisition will provide a unique opportunity for the company to create a scaled global online gaming business, with attributes such as strategic opportunities to accelerate growth and product offerings, an experienced online gaming management team, superior technology capabilities and the commitment to continued profitable growth.
MGM Resorts CEO & President Bill Hornbuckle commented: “Our vision is to be the world’s premier gaming entertainment company, and this strategic opportunity with LeoVegas will allow us to continue to grow our reach throughout the world. We have achieved remarkable success with BetMGM in the US, and with the acquisition of LeoVegas in Europe we will expand our online gaming presence globally.”
LeoVegas has announced that its board of directors has unanimously recommended that shareholders accept the public offer.
