Aristocrat buys Playtech for €3.21 billion

During the year 2021, an announcement made a lot of noise in the online casino industry. Indeed, the Evolution group had decided to buy the publisher Netent, which also owns Red Tiger, for a sum of 2.25 billion dollars. Well, such a thundering news has just shaken the whole profession again.

Aristocrat buys Playtech

It was recently announced that the Australian slot machine manufacturer Aristocrat is to acquire the online games publisher Playtech for the modest sum of 3.21 billion euros.

A must-have software on the Internet

In the world of online gaming, Playtech is undoubtedly one of the biggest names in the industry. Founded in 1999, it is active in the poker, bingo, scratch card and online casino markets. It has made a name for itself with its excellent slot machines and has democratized, for example, adaptations of cult licenses with must-have hits inspired by the main Marvel characters or mythical films such as Gladiator by Ridley Scott, reported https://teenpatti.in.net/.

In 2002, he also created the first live games that filmed a live dealer while he managed our games live.

There has been talk of a possible takeover of Playtech for several years now. In August 2020, for example, the DraftKings group showed interest in such an acquisition. However, this did not materialize in the end.

An agreement found after months of talks

This time, however, it's the right one: Aristocrat will buy Playtech. After talks that seem to have lasted several months in total, the two players have finally come to an agreement. Aristocrat will buy Playtech for 680 pence (which is about €7.69) in cash per share, which is about 58.4% more than the current price.

The famous online games publisher is thus valued at no less than €3.21 billion. This sum will be paid via €700 million of existing cash and €830 million of equity plus a term loan.

To improve its position in the North American online gaming market

Aristocrat, a well-known slot machine manufacturer based near Sydney, is the largest in Australia and the second largest internationally behind the American International Game Technology (IGT).

Aristocrat buys Playtech

It decided to spend 3.21 billion euros to buy the publisher Playtech, mainly with the sports betting and online casino markets in mind. Indeed, these markets are already worth about 70 billion dollars, internationally. Aristocrat is still not very present in these markets and wants to improve its position.

It is mainly interested in the North American continent in this field. Indeed, this continent should eventually become the most lucrative in the world. For the time being, Aristocrat sells its slot machines to land-based casinos in this region, but is not very present in the online sector, where Playtech is already well positioned.