Australia's Aristocrat Nears Completion of NeoGames Buyout in a Landmark $1.8 Billion Deal

Aristocrat Australia’s Leisure Limited has announced its intentions to purchase NeoGames in a monumental deal worth $1.8 billion. The transaction requires a formal Business Combination Agreement to be available on NASDAQ.

In a formal statement, Aristocrat confirmed its plan to acquire NeoGames completely, offering $29.50 for each share. NeoGames' diluted equity now hovers around $1 billion, proposing a business value of $1.2 billion—nearly doubling the average share cost over the last three months.

Before this transaction gets the green light, shareholders of NeoGames need to agree, along with regulatory bodies. The acquisition carries a valuation multiplier of roughly 15 times NeoGames’ Adjusted EBITDA for the 12 months ending December 31, 2023.

Aristocrat receives a thumbs-up from the NeoGames board, urging stakeholders to back the acquisition as they find the terms favorable. It’s notable that NeoGames’ shareholders hold roughly 20.4 million shares, accounting for 61% of the firm’s shares. This faction has pledged support for the acquisition.

Aristocrat is tapping into its resources to fund the takeover and promises to maintain financial stability post-acquisition, projecting a net debt/EBITDA of around 0.7x as of September 30, 2022.

NeoGames, a trailblazer from Israel, excels in crafting gaming content and advanced tech solutions, offering everything from iLottery platforms to online sports betting services. They cater to over 200 operators in more than 50 regulated regions. online casino With NeoGames comprising four complementary online RMG business groups, the company boasts a unified tech stack, gathering names like NeoGames, AspireCore, Pariplay, and BtoBet under one roof.

Aristocrat’s CEO and Managing Director, Trevor Croker, highlighted the company's strategic merger with NeoGames as a crucial step toward solidifying their position in the online RMG sector. He sees this acquisition as expanding the global offerings in iGaming, iLottery, and online sports betting solutions.

Trevor Croker remarked, 'This move leverages our company’s strengths, opening new market avenues while enhancing our capabilities to maximize business potential. We're committed to our growth strategy, ensuring long-term value for Aristocrat’s investors.'

The Aristocrat CEO concluded:

NeoGames' CEO, Moti Malul, expressed enthusiasm about joining Aristocrat and the opportunities lying ahead.

Malul further stated, 'We're hugely proud of our teams for elevating us to the forefront of iLottery, iGaming, and Online Sports Betting. Our collaboration with Aristocrat is set to cement our status as a global leader in real money gaming, delivering unmatched products, services, and gaming content.'

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