All-In: Israeli Casino Game Company Sells For $1.2 Billion
An Israeli-founded company that develops online casino games has been bought for $1.2 billion by an Australian gaming company.
NeoGames provides a portfolio of scratch cards, lotto and instant games to online betting companies.
Aristocrat Leisure, a global online casino game company, has bought NeoGames to improve its foothold in the real-money gaming space. In September, it also bought British gambling company Roxor Gaming.
The Australian buyer will pay $29.50 per share to NeoGames’ shareholders in an all-cash transaction. The shareholders have approximately 20,382,242 shares between them, which amounts to some 61 percent of the company’s total shares.
According to NeoGames, the sales price is some 104 percent higher than the average price of the company’s stocks on the last trading day before the deal was announced.
The agreement means that NeoGames relocates its headquarters from Luxembourg to the Cayman Islands and becomes a wholly owned subsidiary of Aristocrat.
“I am tremendously proud of our entire team at NeoGames, as together we have established our leadership position, driving our success across iLottery, iGaming, and online sports betting,” said CEO Moti Malul.
“We are delighted that the team at Aristocrat recognizes the significance of what we have built, and the strategic opportunity to combine our complementary businesses. We firmly believe that this transaction represents a great outcome for all of NeoGames’ shareholders, customers and employees.”
John E. Taylor Jr., Chairman of the NeoGames Board of Directors, said: “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.
“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.”