Playtech buys SNAITech for $ 1.05 billion


Playtech PLC (PTEC.LN) announced Thursday that it will acquire Italian SNAITech SpA (SNA.MI) for 846 million euros ($ 1.05 billion) with the aim of increasing revenues from regulated markets.

The gambling software company said it has reached an agreement with certain shareholders of SNAITech to acquire around 70.6% of the share capital issued by the Italian company. After finalizing the initial acquisition, FTSE 250-listed Playtech said it would be required to make an offer for the remaining SNAITech shares.

The deal will be funded by a combination of cash and new debt, Playtech said. The initial acquisition is expected to close in the third quarter and the overall transaction to close in the fourth quarter, subject to regulatory and shareholder approval, Playtech said.

At 07:33 GMT, shares of SNAITech were up 15% to 2.16 euros, while shares of Playtech were up 8.3% to 824.60 pence.

Playtech said the acquisition would significantly improve its revenue mix in regulated markets and establish a strong presence in Italy. Once the deal is finalized, 78% of Playtech’s pro forma revenue will be generated in regulated markets, he said.

SNAITech had revenues of 890 million euros in 2017, with earnings before interest, taxes, depreciation and amortization of 136 million euros, Playtech said. The UK company said the deal creates a vertically integrated online retail and gaming business that will control its own technology across all verticals and products.

Playtech PLC (PTEC.LN) announced Thursday that it will acquire Italian SNAITech SpA (SNA.MI) for 846 million euros ($ 1.05 billion) with the aim of increasing revenues from regulated markets.

The gambling software company said it has reached an agreement with certain shareholders of SNAITech to acquire around 70.6% of the share capital issued by the Italian company. After finalizing the initial acquisition, FTSE 250-listed Playtech said it would be required to make an offer for the remaining SNAITech shares.

The deal will be funded by a combination of cash and new debt, Playtech said. The initial acquisition is expected to close in the third quarter and the overall transaction to close in the fourth quarter, subject to regulatory and shareholder approval, Playtech said.

At 07:33 GMT, shares of SNAITech were up 15% to 2.16 euros, while shares of Playtech were up 8.3% to 824.60 pence.

Playtech said the acquisition would significantly improve its revenue mix in regulated markets and establish a strong presence in Italy. Once the deal is finalized, 78% of Playtech’s pro forma revenue will be generated in regulated markets, he said.

SNAITech had revenues of 890 million euros in 2017, with earnings before interest, taxes, depreciation and amortization of 136 million euros, Playtech said. The UK company said the deal creates a vertically integrated online retail and gaming business that will control its own technology across all verticals and products.