BetMakers begins fundraising drive for Global Tote deal
Announced yesterday (1 December), the agreement will see BetMakers purchase Global Tote for a total cash consideration of £30.9m.
To finance the deal, BetMakers will place 83.3m new fully paid ordinary shares at an offer price of A$0.60 each for institutional investors.
BetMakers said the placement has generated strong investor demand among both domestic and international institutions, including support from existing shareholders and new investors.
“BetMakers welcomes the strong support of institutional and sophisticated investors, both existing and new, in the placement,” BetMakers’ managing director Todd Buckingham said.
“We also look forward to conducting a share purchase plan offer as an opportunity for all existing shareholders to participate.”
BetMakers also set out plans to launch a share purchase plans after approval of the acquisition, with this expected to raise an additional AU$10m.
Sportech’s Global Tote business provides pari-mutuel technology and services to horse race betting operators around the world. This includes the Americas Tote business, which provides betting solutions, hardware and operational services to customers in the US, Canada and Latin America.
The acquisition deal will also include Sportech’s North America-facing white label digital betting solutions business, its UK and European Tote operations, and the Quantum Tote betting engine.
Subject to customary closing conditions being satisfied, the deal is expected to complete in the first half of 2021.