Mor Weizer, CEO of Playtech, is considering joining an investor group that may make a takeover bid of the company of which he is in charge. [Image: Shutterstock.com]
Support for TTB ramping up
Playtech CEO Mor Weizer is planning to take part in a possible bid to acquire the company he helms by TT Bond (TTB) Partners, an investor group considering making a takeover offer for the global gambling giant. Former Playtech CEO Tom Hall is also looking to be a part of TTB’s acquisition efforts. The offer would reportedly be higher than Aristocrat Leisure’s £6.80 ($9.26) per share bid made in October. Playtech’s closing share price on Monday was £6.60 ($9).
Weizer will need to separate himself from the board of directors’ deliberations
As a result of the current CEO declaring his interest in being a part of acquiring the company, Weizer will need to separate himself from the board of directors’ deliberations regarding an offer. Playtech’s board will form an independent committee made up of the company’s directors, except for Weizer. This committee will “consider all matters relating to any possible offer from TTB and any other M&A proposals Playtech receives.”
It is unclear when TTB might make a formal offer to acquire Playtech. The group is already the second largest shareholder of the company. In a statement on Monday, TTB said that it will consider the proposal from the current and former Playtech CEOs to become part of the investor group.
Former Merrill Lynch banker Jonathan Bond and former Goldman Sachs partner Teresa Teague started TTB. The group states that it has significant experience investing in technology-driven financial services companies across the world.
Playtech decided earlier in February to waive UK takeover rules that would have blocked TTB from making an offer in the near future. As per the rules, a bidder or one of its affiliates cannot make a new offer for a six-month period after withdrawing a previous bid. TTB had advised Gopher Investments on a full takeover proposal from Playtech in 2021.
Flurry of takeover interest
Numerous groups have been interested in acquiring Playtech in recent months. Most notably, Australia-based gaming company Aristocrat Leisure made a takeover bid in October. However, shareholders voted it down.
Playtech claims to be the biggest supplier of online gambling and betting software globally.
A group of investors led by former Formula 1 boss Eddie Jordan had been considering making a £7.50 ($10.21) per share offer. However, JKO Play decided to withdraw its interest due to opposition from a certain group of Asia-based Playtech shareholders. Gopher Investments owns Playtech’s Finalto division and was considering making a full bid, but also decided against doing so.
Playtech has recently considered selling off its B2B operations and its Italian business. Playtech’s current enterprise value, including debt, is £2.5bn ($3.4bn).