Betr has been dealt a blow by the Australian government after it refused to stop MIXI’s rival bid for PointsBet going ahead, although the BlueBet operator’s own all-stock bid has opened today, 18 August.
Betr’s most recent offer, an unsolicited all-scrip reverse takeover proposal, would see PointsBet shareholders receive 4.219 Betr shares for every PointsBet share they own.
This would be worth up to A$1.35 per share, based on Betr’s recent oversubscribed A$130m capital raise valued at A$0.32 per share.
The offer was received by PointsBet shareholders today, 18 August, and will remain valid until 22 September.
Betr attests that the value presented by its offer is “superior” to MIXI’s current offer of A$1.25 per share. Betr also cited “compelling synergies”, proven management experience and “significant” value creation for shareholders.
MIXI submitted its “best and final offer” worth up to A$421m earlier this month, which received unanimous approval from the PointsBet board, that recommended that shareholders accept the bid.
A Betr statement said: “The Betr board unanimously recommends that PointsBet shareholders accept the offer in respect of all of their PointsBet Shares.
“Betr’s board and management team has an unparalleled track record in building and selling wagering businesses and a high degree of confidence in executing upon a successful integration of PointsBet into Betr’s business and delivery of the significant synergy prize the combination offers.
“The proposed combination of Betr and PointsBet delivers significant strategic and financial benefits, consistent with the hallmarks of best-in-class M&A in the wagering sector.”
The opening of the acceptance period for Betr’s bid comes after the Australian Takeovers Panel denied a request from the operator for interim restraints against MIXI from processing acceptances from PointsBet shareholders.
Betr claimed that PointsBet shareholders had not been given adequate time to review both MIXI and Betr’s bids, while also claiming the MIXI’s confidentiality deed had not been disclosed to the market.
In response, the Takeovers Panel dismissed Betr’s claims, alleging that PointsBet shareholders had adequate time to consider both bids.
A statement from the Panel read: “The panel considered that the current commercial status, and timing, of the MIXI offer and the Betr bid allowed PointsBet shareholders an opportunity to consider the merits of, and participate in, either offer.
“Therefore, the panel was not satisfied that the circumstances raised in Betr’s application were contrary to the principles in section 602 (of the Corporations Act 2001). The Panel did not consider that in the circumstances the confidentiality deed between MIXI Australia and PointsBet should be, or should have been, disclosed to the market.
“The panel concluded there was no reasonable prospect that it would make a declaration of unacceptable circumstances. Accordingly, the panel declined to conduct proceedings.”
Throughout the takeover saga, PointsBet has consistently rejected Betr’s offers in favour of MIXI’s proposals.
The Japanese conglomerate’s own offer will close on 25 August. MIXI also holds 36.7% of PointsBet shares.
The post Betr handed delay request blow as fresh bid for PointsBet goes live first appeared on EGR Intel.
Australian Takeovers Panel shuts down Betr’s claim that PointsBet shareholders didn’t have the chance to consider its offer following MIXI’s “best and final” proposal
The post Betr handed delay request blow as fresh bid for PointsBet goes live first appeared on EGR Intel.