Trading
UK’s Playtech’s shares slip after report of potential breakup
Published by maria gbaf
Posted on January 26, 2022
2 min readLast updated: January 28, 2026
Global Banking & Finance Review®
Company
Published by maria gbaf
Posted on January 26, 2022
2 min readLast updated: January 28, 2026
Playtech shares dropped 4% following reports of a potential breakup if the Aristocrat Leisure buyout fails. Shareholder vote is set for Feb. 2.
(Reuters) -Playtech shares fell 4% on Wednesday after the gambling software maker once again backed a buyout by Aristocrat Leisure, following a report that the London-listed company was exploring a breakup if the deal does not go through.
Britain’s Playtech in a statement did not address the Sky News report, but said that it continued to endorse the 2.1 billion pound ($2.8 billion) offer from Australia’s Aristocrat which is due for shareholder voting on Feb. 2.
While regulatory approvals for the Aristocrat deal are on track, there is uncertainty over whether shareholders would vote in its favour after Playtech indicated investors were wary.
On Jan. 21, Playtech said it was speaking to shareholders about Aristocrat’s offer, saying “a number of material investors have not to date engaged meaningfully about their views” on the proposal.
Peel Hunt analysts raised their rating on Playtech on Wednesday, and said a restructuring of the business would lead to a value of over 700 pence per share. Aristocrat has offered 680 pence per share.
Last week, former Formula One team boss Eddie Jordan withdrew from making an offer for Playtech after approaching it in November. Other suitors were also once circling the British firm, in what could have become a three-way battle for Playtech.
($1 = 0.7407 pounds)
(Reporting by Pushkala Aripaka in Bengaluru; Editing by Shailesh Kuber)
The article discusses the decline in Playtech shares amid reports of a potential breakup if the Aristocrat Leisure buyout does not proceed.
Aristocrat Leisure has made a 2.1 billion pound offer, equating to 680 pence per share.
If the buyout fails, Playtech may consider a breakup, which analysts suggest could increase its share value.
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