Software Provider Playtech Signs Major Agreements

Software Provider Playtech Signs Major Agreements
Software Provider Playtech Signs Major Agreements By: Joe Valentino, Wednesday April 18th 20120 Comments   Email   PrintThe leading online gaming software provider Playtech has made its intent known of obtaining a premium listing on the main market of the London Stock Exchange. Ahead of this, Playtech has signed a number of MoUs for the acquisition of assets and businesses that will enhance the long term value of the software provider to its investors and other stake holders. The first of these transactions relates to Playtech’s acquisition of assets and businesses for entry to the B2B real money social gaming sector through online and mobile channels. The partner with whom this MoU has been signed has not been named. Simultaneously, Playtech will engage in equity participation in a B2C venture with enterprises in which Teddy Sagi is interested through Brickington Trading Limited. Sagi is the founder of Playtech and is a major shareholder in Brickington, which in turn is Playtech’s largest shareholder. These transactions would enable Playtech to access a broad range of social gaming platforms, which it would service with its cross-platform capabilities covering the complete range of its products including casino, poker, bingo and rummy. The B2C businesses currently offer play for real lottery and social gaming activities. Playtech will offer the businesses the license to use certain of its games. The second MoU concerns Playtech’s intent to acquire office space in London for its United Kingdom subsidiary, Gaming Technology Solutions (GTS). The office is currently occupied by GTS, but Playtech is seeking to make the arrangement a more permanent one. The consideration is anticipated to be £10.5 million outright or alternatively a long term lease for an annual fee of £750,000. The building is owned by Worldwide Online Enterprises, a company in which Sagi is beneficially interested. The third MoU was signed regarding the appointment of Playtech director and major shareholder Sagi as an adviser to the company. Sagi will be paid a nominal fee of €1 per annum. All the three transactions will constitute a Related Party Transaction under the AIM Rules for Companies, even if completed before the AIM listing. Through an independent stock exchange advisory Playtech has updated its stakeholders of its transaction with PT Turnkey Services Limited (PTTS). Playtech will be completing the transaction earlier than originally agreed with the payment of the remaining initial purchase price. In return Playtech will receive a €4.2 million discount. The reason given by Playtech for doing this was the strong performance of PTTS since its acquisition. The payment will be made from the Playtech’s existing debt facilities. PTTS was acquired from Worldwide Online Enterprises Limited. Since Sagi has an interest in Worldwide Online, this transaction also constitutes a Related Party Transaction as defined by the AIM Rules for Companies. News Item Tools  Email     Print     Digg     Del.icio.us    StumbleUpon Comments  Add Comment Add Comment You must be signed-in to add a comment: – Sign-in – Register More News Virgin Casino Kitten Themed Slot OnlineSoftware Provider Playtech Signs Major AgreementsNeteller All Slots Online Casino PromoeCOGRA Ready for Danish Online GamblingVirgin Casino Treasure Hunt Promo

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