* JKO gives no reason for abandoning Playtech pursuit
* Playtech backing Aristocrat offer, talking to its
* Playtech shares fall 16% in London
Jan 21 (Reuters) - Former Formula One team boss Eddie Jordan
has withdrawn from making a potential offer for Britain's
Playtech, while the gambling software maker continued
to back a 2.1 billion pound ($2.9 billion) buyout by Aristocrat
London-listed Playtech's shares fell 16% on Friday after a
company related to Jordan, FTB Ltd, said his JKO Play consortium
did not plan to make an offer for Playtech. It did not give a
reason for the decision.
The consortium approached https://www.reuters.com/legal/transactional/playtech-gets-third-takeover-approach-sets-up-potential-bidding-war-2021-11-18
Playtech in November. Other suitors were also once circling the
London-listed firm, in what could have been three-way battle https://www.reuters.com/legal/transactional/playtech-gets-third-takeover-approach-sets-up-potential-bidding-war-2021-11-18
The Financial Times reported https://www.ft.com/content/279768f5-5381-4174-a92e-bcd6e1216a23
on Thursday Jordan was concerned that a group of Asian
investors that recently bought in to Playtech would block the
deal. The investors could not be reached by Reuters.
Playtech said on Friday it was speaking to its shareholders
about Aristocrat's offer, saying "a number of material investors
have not to date engaged meaningfully about their views" on the
The FT said JKO, which owns 0.51% of Playtech, was set to
offer 750 pence per Playtech share, citing three people involved
in the process. Australia's Aristocrat has offered https://www.reuters.com/business/australias-aristocrat-leisure-makes-29-bln-bet-online-gambling-provider-playtech-2021-10-17
680 pence per share.
It also said JKO had planned to sell Playtech's Italian
business to Ladbrokes owner Entain. Entain declined to
Peel Hunt analysts said there was an "an intense focus" on
Playtech's value following the bidding. "It is clear that there
is value to be extracted from Playtech's interest in Caliente in
Mexico and ... from the Italian B2C business," they noted.
Gopher Investments, Playtech's second-biggest shareholder
which refrained https://www.reuters.com/technology/investor-gopher-walks-away-bidding-playtech-2021-11-19
from making an offer for the company in November, declined to
comment on JKO's move or Aristocrat's offer due to be voted on
by shareholders on Feb. 2.
Aristocrat said on Friday regulatory approvals for the
Playtech deal were on track.
($1 = 0.7350 pound)
(Reporting by Pushkala Aripaka, Sinchita Mitra, Shivani Tanna
and Rhea Binoy in Bengaluru; Editing by Matthew Lewis, Shounak
Dasgupta and Tomasz Janowski)