JKO Withdraws from Race to Acquire Playtech

JKO Play Limited officially announced on Friday that the consortium is dropping out of the Playtech acquisition race and is not intending to make an offer anymore.

However, the consortium that holds a 0.51 percent stake in Playtech did not provide any reason behind the decision even after two months of its consideration for the acquisition Acquisition Acquisition means acquiring or taking possession or the securing of property, services, or abilities. To put it simply, it is the act or process of acquiring or gaining. You can acquire a work of art, you can acquire an ability such as speaking another language, you can acquire a business or shares in a company and you can acquire an accountant's service. For example, you can acquire a new car. In a broad sense, Acquisition can mean the act of taking ownership or possession of something. There Acquisition means acquiring or taking possession or the securing of property, services, or abilities. To put it simply, it is the act or process of acquiring or gaining. You can acquire a work of art, you can acquire an ability such as speaking another language, you can acquire a business or shares in a company and you can acquire an accountant's service. For example, you can acquire a new car. In a broad sense, Acquisition can mean the act of taking ownership or possession of something. There Read this Term.

JKO is controlled by former Formula One team-owner Eddie Jordan and Keith O’Loughlin, a former executive at U.S. slot machine maker Scientific Games. It first requested for a preliminary inquiry of Playtech in mid-November and asked for access to certain due diligence information to explore the terms of the offer.

With the latest withdrawal, JKO cannot make any offer for Playtech within six months, except for certain conditions.

Time to Seal Aristocrat’s Offer

The interest of the consortium into Playtech came after the Aussie slot machine maker, Aristocrat Leisure made a £2.7 billion ($3.7 billion) takeover bid to acquire the gaming technology provider Technology Provider A technology provider is an individual, company, or entity that creates, render services and sells software applications or hardware. Currently, there are four types of tech providers which are as followed:Software-as-a-Service (SaaS) – Functioning as a subscription-based licensing and delivery model, SaaS is centrally hosted and may also be referred to as on-demand software. Tech Hardware – Powerful tech providers such as Apple, Oculus Rift, FitBit, and Samsung are examples of tech hardware pro A technology provider is an individual, company, or entity that creates, render services and sells software applications or hardware. Currently, there are four types of tech providers which are as followed:Software-as-a-Service (SaaS) – Functioning as a subscription-based licensing and delivery model, SaaS is centrally hosted and may also be referred to as on-demand software. Tech Hardware – Powerful tech providers such as Apple, Oculus Rift, FitBit, and Samsung are examples of tech hardware pro Read this Term. Now, Playtech shareholders will vote on the finalization of this deal on February 2.

“The [Playtech] Board continues to recommend unanimously that Playtech's shareholders vote in favour of the offer from Aristocrat Leisure Limited (the 'Aristocrat Offer') at the Court Meeting and in favour of the Playtech Resolutions to be proposed at the General Meeting,” Playtech said in a statement on Friday.

“The Board continues to seek engagement with all of its shareholders regarding the 'Aristocrat Offer'. However, a number of material investors have not to date engaged meaningfully about their views on the 'Aristocrat Offer', including certain investors that have disclosed or taken material positions in the Company following the announcement of the 'Aristocrat Offer'. The absence of customary levels of engagement means that the Board is approaching the Court and General Meetings without a clear understanding of whether these shareholders are supportive of the 'Aristocrat Offer'.”

Gopher Investments, which sealed its acquisition deal for Finalto, showed interest in Playtech as well but withdrew its intention less than a couple of weeks.