Aristocrat makes slot machines, many of which end up in Las Vegas
(Picture: AP)The battle for Playtech has taken another surprising turn after the gambling group received a mysterious new approach just hours after the collapse of its £2.7 billion takeover.
Playtech has been approached by a Hong Kong advisory group representing a group of unknown investors considering a bid for the business. TTB Partners, a Hong Kong firm founded by two former Goldman Sachs partners, is advising the group which is in the process of being formed. The identities of those involved have not been disclosed.
Playtech said there was “no certainty as to whether this will result in an offer for the company… However, any offer, if made, is likely to be in cash.”
Playtech shares jumped 62p, or 10%, to 647p. News of the approach comes less than 12 hours after Playtech’s sale to Australian slot machine maker Aristocrat collapsed. Aristocrat made a 680p-a-share bid in October, which was a chunky premium to where shares were trading at the time. Playtech’s stock subsequently rose above the offer level as traders bet on a bidding war for the company.
The Aristocrat deal was ultimately derailed by a group of Asian investors who bought into Playtech during the takeover bunfight. The deal was rejected by 44% of voting investors at a meeting yesterday. The fresh approach is understood to have come late last night.
TTB previously advised Shanghai-based Gopher Investments when it considered a bid for Playtech last year. TTB has secured a waiver from the Playtech board for its involvement in the new approach. Recent new names on the Playtech share register from Asia include Birmingham City FC owner Paul Suen, Hong Kong heiress Karen Lo, and professional poker player Stanley Choi. It is not clear whether any have a connection to the new approach.
Repeated attempts to engage with the new Asian investors have failed, leaving Playtech and Aristocrat in the dark. One source close to the companies said they had never seen a similar situation in 15 years working in the City.
