Aristocrat, which is an Australian slot machine giant, has launched an almost AU$4 billion bid to acquire Playtech plc.
Playtech shareholders, who represent more than 20% of the provider’s outstanding shares, have already sent letters of intent or irrevocable undertakings to Aristocrat. Playtech board has recommended unanimously to other shareholders to support the scheme.
Playtech plc is a game provider that was founded in 1999. All of their games have high-quality graphics, impressive visuals, and fun features which makes Playtech a very popular game provider. Playtech is presented in almost every newly launched casino, for instance, Winz.io online casino, which started in early 2021 has already implemented it. Playtech’s closing price was 429 pence on 15 October 2021. The Australian giant is ready to offer a cash price of 680 pence per share, under the terms of the deal. That is a 58% premium over the old closing price. The team of Aristocrat believes that Playtech would deliver strategic benefits and accelerate the Australian giant’s growth strategy.
Trevor Croker, who is a CEO and Managing Director of Aristocrat said that regulatory relationships with Playtech’s online real money gambling platform, which is a leader in the industry, and European B2C footprint and Aristocrat’s high-class gaming content would be brought together by the proposed combination. He also added that their combined group would offer end-to-end solutions for gamers all around the world. Croker has also said that adding a talented team like Playtech’s strong company like Aristocrat would create a leader in the global online real money gaming industry.
The acquisition of Playtech for the iGaming industry may be helpful. The iGaming industry stands to gain from this deal since players will have access to additional games that stand out from the competition. If Aristocrat, a land-based casino game provider, now has the ability to change and adapt its games to online casino gaming, it bodes well for the industry as a whole. As a result, organizations are working to create a single, user-friendly gaming platform. This platform will allow users to play an even wider range of games, which will enhance their overall experience and happiness. Intriguing synergies may be established when a land-based service and an online product are combined. With a web channel and a mobile app, the casino can keep in contact with its customers even while they’re out of town, which has several advantages. There is the opportunity for consumers to continue playing whether they are at home or on the road (which often accompanies the presence of the gaming rooms). It’s possible that operators may utilize the virtual casino to promote their real casino’s many different initiatives. Internet gaming companies may provide fantastic solutions to land-based casinos by providing streaming options from actual locations to online players and branded live casino halls. With a live stream service, land-based casinos can now provide their clients with the option to play their preferred casino games with their preferred dealers whenever and from wherever they choose. Branded live studio solutions provide casinos the ability to customize everything from dealer clothing and playing cards to table design and even the studio environment in real-time. As a matter of fact, both technologies enable casinos to tailor their live casino landing pages, UI components and colors, user interface languages, and table limits to their own requirements and preferences. The operation of an online gaming business offers no threat to a land-based business that currently exists. An online casino is a great way for a casino owner to reach a bigger audience, reach players who would not otherwise be able to visit the casino in person, and communicate with those players. It doesn’t matter how few tables and dealers an online casino has; the owner may still bring in a large number of customers and make the most money from a single one.
SpringOwl Asset Management CEO Jason Ader, one of Playtech’s top shareholders, praised Brian Mattingley, Playtech’s chairman, for his efforts in finalizing the purchase. It “validates our long-held opinion of the value of Playtech,” he added.