BIT Mining Limited (NYSE:BTCM) made an offer to acquire an additional 39.1% stake in Loto Interactive Limited (SEHK:8198) for approximately HKD 160 million on January 28, 2021. In a related transaction, BIT Mining Limited will subscribe to new shares in Loto Interactive taking its holding to 54.2%. Post subscription, the offer will be made for 214.2 million shares at HKD 0.75 per share.

BIT Mining will also launch an option offer to acquire unexercised options. BIT Mining will pay HKD 0.49 per option of HKD 0.26 strike price (24.9 million Options in total). Three individual Shareholders Mak Lam, Li Qi and Mei Siyuan have signed irrevocable Undertakings pursuant to which each of them has irrevocably undertaken not to accept the Share Offer or the Option Offer (as applicable) and they will not sell their holdings under the offer.

The Offeror intends to finance the consideration payable under the Offers by its internal resources. The Offeror did not propose to nominate any new Directors to the Board. Meanwhile, the Offeror has no intention to make any change to the composition of the Board as at the date of this joint announcement.

BOCOM International (Asia) Limited acted as financial advisor to Loto Interactive. The offer is expected to close on June 18, 2021.