Entain Will Be Released On The Baltic Markets In Case Of Conclusion Of The Transaction With Enlabs Ab
Independent evaluation committee enlabs ab ("enlabs") recommended the company’s shareholders to take a public offer in the amount of 40 swedish crowns for the share of enlabs, previously represedd by entain plc. Through its 100% subsidiary bwin holdings (malta) limited.
This statement was made by the independent application committee enlabs in accordance with the rules of the absorption of the corporate governance of sweden.
Entain introduced the shareholders of enlabs a public offer to buy all shares of the amount of 40 swedish crowns per share of enlabs. The total cost of the transaction based on all encases of enlabs is approximately 2.8 billion swedish kroons ($ 339 million). The offer is fully financed by cash. It expected that the period of discusion of the proposal will begin in about january 21, 2021 and expires in about february 18, 2021, taking into account any extensions.
Completion of a proposal depends on the usual conditions, including the adoption of proposal to such an extent that entain will become the owner of enlabs shares representing more than 90 percent of the total number of shares of the company (on a fully diluted basis); no other party announces an offer to acquire enlabs shares on conditions that are more profitable for company shareholders than proposal; as in relation to the proposal and acquisition of enlabs, obtaining all the securityly regulatory, state or similar permits, decisions, including bodies on competition and gaming bodies, in each case under conditions that, in entain, are acceptable.
Considering that the companies controlled by niklas bathaten, who is the chairman of the board of directors of enlabs, and christian hawpte, who is a member of the board of directors of enlabs, respectively, have committed themselves to adopt a proposal, an independent trade committee of the board of directors ("independent application the committee") was held on january 6, 2021 and since then it has been dealing with the proposal issues.
In assessing the proposal, the independent application committee took into account a number of factors, including, among other things, the current strategic and financial position of enlabs, the prevailing market conditions, the expected future development, as well as the possibilities and risks associated it.
Enlabs works in the baltic countries and, according to entain, is the second laader in latvia, the second largest in estonia and is among the five largest lithuanian operators. The head office is in riga, and offices – in tallinn, vilnius, minsk, malta, marbella and stockholm.
Representatives of entain noted:
"The baltic region is a very attractive, locally regulated and fast-growing gaming market. Entain is currently not working in these regions, and entering the market is consistent with the entain strategy to focus on growing markets that are regulated and taxed at the local level.
The acquisition of enlabs is a synergistic combination with an outstanding operator, with high standards of work and the leading proposal for customers ".
The maltese firm stated that the acquisition will allow the enlabs to grow in existing markets, as well as expand on neighboring, including belarus and ukraine.
Shai segev, general director entain, said:
"The acquisition of enlabs is perfectly consistent with our newly regulated international market strategy.
We are very inspired by the growth opportunities that the company provides both in existing markets and at the expense of new market opportunities.
The enlabs independent committee unanimously decided to recommend to shareholders to accept the proposal and was supported by the main stakeholders, which in the aggregate own 42.2% of the total shares of enlabs.
Source: official website enlabs