by Renee Israel
A complex three way deal will see Playtech enter further into the UK
football pools market, as well as allow Liverpool gambling operator, Sportech to
acquire the US based Scientific Games Racing.
Sportech owns UK Football Pools (including the newly branded New Football
Pools), while SGR has a major US and European presence in the horseracing
sector.
The details of the deal are as follows:
- Sportech will acquire SGR (Scientific Games Racing) for a cost of up to
$83 million.
- Playtech will subscribe for nearly 20 million new shares at the price of
50p (an investment of £10 million for a 9.9% stake in the expanded
Sportech group).
- Playtech will provide its quality online gaming software to Sportech and
SGR.
- Playtech will expand its product exposure across football and
horseracing markets around the world.
The deal pushes the relationship between Playtech and Scientific Games (who
is selling SGR but will retain a 20% stake in the expanded Sportech) even
closer.
"This is a further significant alliance for Playtech in the growing
international regulated gaming arena," said Playtech CEO, Mor Weizer. "Through
its acquisition of SGR, Sportech has strengthened its already leading position
in regulated pari mutuel markets by adding horseracing to football - two of the
most popular gaming sports in the world. We share man of Sportech's goals in
growing our business in regulated markets and look forward to helping the
company fulfil its great potential."
