Sportingbet shareholders approve Hills-GVC deal
GVC shareholders also approve acquisition at separate EGM - will be completed once certain conditions are met next month.
Sportingbet’s shareholders have come out overwhelmingly in favour of William Hill and GVC Holdings’ joint bid for the London-listed operator ahead of today’s deadline.
The proposed £454m acquisition will now be completed pending the satisfaction of conditions set out in the scheme document, with a scheme court hearing pencilled in for 11 March.
A statement from Sportingbet explains: “It is anticipated that the Scheme will become effective on or around 19 March 2013,” marking the end of an era for the operator.
Sportingbet shareholders voted in favour of two resolutions associated with the deal, with 87% of those at a shareholder general meeting and 83% at a court meeting supporting the proposals, comfortably meeting the 75% threshold required.
Of those to cast a vote at the bondholder general meeting, 100% approved the deal. The convertible bonds were first issued in 2010 around the time Sportingbet moved to acquire Australian operator Centrebet.
GVC’s shareholders also approved all relevant resolutions at an extraordinary general meeting earlier today.
Following the completion of the deal, William Hill will take on Sportingbet’s Australia business after having itself exited the market in July and dot.es brand Miapuesta, while GVC will take on the operator’s activities in other markets including South America.
Such an agreement was first mooted in September last year, with parties involved receiving four separate extensions before reaching an agreement in December.
A £350m bid, valuing the operator at 52.5p a share, was turned down by Sportingbet in October, however two months later a 56.1p a share agreement was reached.
In a note last week analyst Ivor Jones of Numis suggested shareholders should hold out for 90p a share, citing last month’s real-money launch on Facebook through Sportingbet’s Bonza Gaming joint venture with Plumbee and the potential for a US entry via a partnership with Connecticut-based tribal casino Foxwoods.