Business
Statement regarding potential acquisition
Statement regarding potential acquisition.
About this update from Entain Plc
[{"type":"text","content":"\n \nRNS Number : 6348Y GVC Holdings PLC 07 December 2017 \n\nNOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART IN, INTO OR FROM THE UNITED STATES OF AMERICA, AUSTRALIA, CANADA, JAPAN OR ANY OTHER JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF THAT JURISDICTION\nTHIS ANNOUNCEMENT IS NOT AN ANNOUNCEMENT OF A FIRM INTENTION TO MAKE AN OFFER UNDER RULE 2.7 OF THE CITY CODE ON TAKEOVERS AND MERGERS AND THERE CAN BE NO CERTAINTY THAT AN OFFER WILL BE MADE\n \nTHIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION\n \nFOR IMMEDIATE RELEASE\n7 December 2017 \n \nStatement regarding potential acquisition of Ladbrokes Coral Group plc (\"Ladbrokes Coral\") by GVC Holdings PLC (\"GVC\")\n \nThe board of Ladbrokes Coral and the board of GVC (the \"Boards\") announce that they are in detailed discussions regarding the possible combination of the two businesses, following the receipt by Ladbrokes Coral of a non-binding proposal from GVC regarding a possible offer for the entire issued and to be issued share capital of Ladbrokes Coral (the \"Possible Offer\").\n \nIt is expected that the Possible Offer would be structured as a scheme of arrangement pursuant to which GVC would acquire the entire issued and to be issued ordinary share capital of Ladbrokes Coral. Under the terms of the Possible Offer, Ladbrokes Coral shareholders would be entitled to 32.7p in cash and 0.141 ordinary GVC shares for each Ladbrokes Coral share, and a potential further value of up to 42.8p structured as a contingent value right (\"CVR\"). The value of the CVR, which would be satisfied by the issue of loan notes by GVC (the \"Loan Notes\"), would be determined by reference to the outcome of the Department of Digital, Culture, Media and Sport's current 'Review of Gaming Machines and Social Responsibility Measures' (the \"Triennial Review\") relating to the regulation of Category B2 Fixed-Odds Betting Terminals (\"FOBTs\") and its estimated impact on the run-rate profitability of Ladbrokes Coral's UK business, after giving effect to any mitigations. A summary of the proposed CVR mechanism is set out in Appendix I.\n \nBased on the respective Ladbrokes Coral and GVC share prices as at the close of business on 6 December 2017, the Possible Offer values Ladbrokes Coral at ...