Shareholders of online lottery supplier NeoGames voted to approve that company’s takeover by Australian slot supplier Aristocrat Leisure Limited. The business combination agreement was signed in May, giving Aristocrat its first entry into the global iGaming market.
The transaction price represents a premium of approximately 104 percent over the volume weighted average price of NeoGames’ shares for the three months ending on May 12, 2023, the last trading day prior to announcement of the agreement.
“The NeoGames team has built a great company with a strong platform and differentiated assets, and we are pleased that Aristocrat recognizes the value we’ve created as a leader across iLottery, iGaming and online sports betting,” said NeoGames Chairman John E. Taylor, Jr. after the May announcement. “After careful consideration, the board determined that Aristocrat’s proposal provides shareholders with compelling value, further validating the strength of the business that NeoGames has built.”
According to Reuters, news that Aristocrat was acquiring the Israel-based online gaming solutions provider for approximately $1 billion caused stocks of both companies to increase.
The transaction is expected to close in 2024.