MGM Resorts makes offer to acquire European online casino firm LeoVegas
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MGM Resorts International has announced commencement of a public tender offer to acquire 100% of the shares of Swedish online casino firm LeoVegas AB.
According to details released on Monday, the offer forms part of MGM’s efforts to expand its global presence and further enhance development of its digital gaming and sports betting ambitions.
The offer price of SEK61 (US$6.17) in cash per share values LeoVegas at around US$607 million, to be financed by existing cash.
“Our vision is to be the world’s premier gaming entertainment company, and this strategic opportunity with LeoVegas will allow us to continue to grow our reach throughout the world,” said MGM Resorts CEO & President, Bill Hornbuckle.
“We have achieved remarkable success with BetMGM in the US and with the acquisition of LeoVegas in Europe we will expand our online gaming presence globally. We believe this offer creates a compelling opportunity that allows the combined teams of MGM Resorts and LeoVegas to accelerate our global digital gaming growth and fully realize the potential of our omnichannel strategy.”
MGM said the acceptance period of the offer is expected to run from June until August, with settlement to commence in early September if accepted, pending regulatory approvals.
LeoVegas currently holds licenses to operate online gaming in eight jurisdictions, primarily in Europe, and generated EUR393 million (US$414 million) in revenue and EUR48 million (US$51 million) in Adjusted EBITDA in the 12 months to 31 March 2022, according to information from MGM.
