Scientific Games Corporation’s proposed attempt to buy online casino games innovator NYX Gaming Group Limited received a massive boost on Wednesday after British bookmaking giant William Hill had dropped its previous opposition.
Las Vegas-based Scientific Games Corporation revealed in September that it was prepared to spend up to $631 million in order to acquire NYX Gaming Group but last month saw it file an anti-trust lawsuit against William Hill in a New Jersey court over allegations that the sportsbetting behemoth was attempting to illegally block the deal.
Undaunted, Scientific Games Corporation subsequently shelled out some $21.21 million to buy an initial 10.72% stake in Toronto-listed NYX Gaming Group Limited before going on to acquire an additional 13.7% share from The Stars Group Incorporated for approximately $27.74 million.
Now holding in excess of 24% of the shares in NYX Gaming Group Limited, Scientific Games Corporation revealed that its proposed offer to buy the digital games and technology provider’s remaining stock at a price representing a 112% premium on their September 19 value is now due to be put before shareholders on December 20.
In advance of this vote, Scientific Games Corporation stated that it and NYX Gaming Group Limited had entered into ‘independent agreements’ with William Hill and its William Hill Steeplechase Limited subsidiary along with AlpInvest Partners Co-Investments that is to see all parties now ‘support the previously announced acquisition’.
William Hill and its affiliates hold some 6.8 million of the ordinary shares in NYX Gaming Group and stand to make about $12.69 million from the Scientific Games Corporation offer while AlpInvest Partners Co-Investments could earn approximately $4.66 million for its over 2.5 million shares.
“Scientific Games [Corporation] also announced that it has entered into a new commercial arrangement with William Hill and that the parties as well as NYX [Gaming Group Limited] have entered into a separate settlement agreement in which the parties have agreed to end all existing litigation among the parties,” read a statement from Scientific Games Corporation.