Online lottery platform provider NeoGames has completed its previously announced acquisition of Aspire Global.
NeoGames in January launched a public offer worth SEK4.3bn (£344.1m/€402.3m/$423.5m) to acquire 100% of the shares in the B2B igaming technology solutions provider.
The initial acceptance period for the offer was due to expire on 25 May but was extended to 14 June to give all shareholders the chance to accept NeoGames’ offer.
In total, 99.31% of the shares in Aspire Global were tendered.
Shares of Aspire Global that remain outstanding after 30 June will be subject to a squeeze-out proceeding that is due to complete on or around 11 August. Under this procedure, NeoGames may compulsorily purchase the remaining shares of Aspire.
The offer was funded through a combination of newly issued NeoGames shares and cash, with NeoGames to issue approximately 7.6 million shares to Aspire Global shareholders as payment of the equity component of the offer, and also pay $264.0m for the cash section of the deal.
The combined business will be led by Moti Malul, the current chief executive of NeoGames who will remain in this role for the enlarged group, and Raviv Adler as chief financial officer. Tsachi Maimon, chief executive of Aspire Global, will serve as president and lead the newly formed igaming division.
The current board of directors of NeoGames will remain in place with no changes
“We are thrilled to complete this strategic transaction with the Aspire Global team, and to commence working on identifying potential opportunities to capitalise on the merger of our platforms,” Malul said.
“We believe this strategic combination will generate long-term shareholder value by synergistically capitalizing on the key strengths of our two companies and will help position NeoGames for expansion in new and existing markets.
“By integrating our market-leading platform and scalable position within the rapidly expanding global ilottery market, with Aspire Global’s proprietary sports betting platform, BtoBet; its igaming content and aggregation platform, Pariplay; and its proprietary content and turn-key B2B igaming solutions, NeoGames is well positioned to increase our addressable market opportunities, and further expand our services to our North American customers.”
Maimon added that the two businesses fit well together culturally.
“We believe both companies are well positioned to mutually grow our two platforms and execute on our strategic initiatives. Not only is this a strategic fit, it is also a strong cultural fit, as significant parts of both management teams worked together extensively during NeoGames’ inception,” he said.