Playtech Agrees Deal to Acquire Snaitech

Every big company in the iGaming world is looking to increase their presence in various markets around the world, and Playtech is the latest to have made a big step in that direction, consolidating their presence in the Italian market with an €846 million acquisition of Snaitech.

The deal will see Playtech purchase a 70.6% stake in the Italian gaming operator and the cost is to be covered by Playtech out of existing cash as well as a new debt.

Mandatory takeover bid

When the deal has been officially finalised, Playtech will be required to place a mandatory takeover bid for Snaitech’s remaining stake, but this will not occur for a while.

Finalisation of the deal will require approval from shareholders of both companies, as well as the relevant regulatory authorities.

It is assumed that the deal will be finalised by the third quarter of 2018, with the transaction expected to be completed before the year’s end.

Eye on fast-growing markets

Last year was tough for many in the iGaming world with multiple regulation changes, and this showed in Playtech’s full-year growth, which was down year-on-year at the beginning of 2018, but it’s clear that Playtech have a plan for how to increase their growth and their international market presence.

Speaking of the deal, Mor Weizer, Chief Executive at Playtech, said:

“The acquisition of Snaitech represents the continuation of our strategy to invest in leading retail brands in fast growing, regulated markets.”

“Playtech has always been at the forefront of its industry and the acquisition offers the opportunity to create a vertically integrated ‘B2B2C’ operator in Europe’s largest gambling market, delivering significant value to shareholders.”

Moving away from unregulated markets is a plan that Playtech has made a great start on with this deal, and one that others are expected to follow suit on in the near future.