International Game Technology (IGT) said Thursday it is offering
to buy Sweden-based online gambling firm Entraction Holding AB
(ENT-B.SK), in a deal valued at SEK700 million (US$115.3
million).
The Reno, Nev.-based designer and manufacturer of gaming
machines and network systems products said in a statement it is
offering SEK67.56 a share for all the A and B shares in Entraction
through its wholly owned Swedish unit, Goldcup 6663 AB, which it
said is changing its name to Eagle One AB. International Game
Technology said it will finance the deal through cash available
from its balance sheet.
Entraction's B shares are listed on NASDAQ OMX First North
Premier Stockholm.
The offer represents a 57.7% premium to the volume-weighted
average price paid for Entraction's B shares over the past three
months, and a 33.8% premium to Entraction's closing price Wednesday
of SEK50.50, International Game Technology said.
Entraction's board will recommend the offer to its shareholders,
Entraction Chairman Borje Fors said in the statement. Entraction's
main shareholder, board member Henrik Kvick, has undertaken to
accept the offer under certain conditions, the statement said.
Entraction shareholders have until June 7 to accept the deal,
which would likely be settled June 15 pending regulatory approval
and other conditions, according to the statement.
-By Hong Kong bureau, Dow Jones Newswires; 852-2802-7002;
djnews.hongkong@dowjones.com