PointsBet has reacted with little enthusiasm towards another attempt by Betr Entertainment to get ahead in the takeover battle with Mixi for the company.
Betr Entertainment’s latest proposal is either an all-scrip bid or an offer of cash via a buy-back program – or a combination of both.
The all-scrip bid, betr said, would offer 3.81 betr shares for each PointsBet share, which it added would equate to AU$1.22 per PointsBet share based on a $0.32 betr share price.
Alternatively, subject to shareholder approval, betr is offering PointsBet shareholders who accept the offer to receive cash of $1.22 for each PointsBet share in a buy-back facility.
“I recognise the importance of providing certainty and to finding an expedient resolution to the current situation,” said betr chairman Matt Tripp.
“My priority is to do exactly this, whilst at the same time realising the substantial value inherent in consolidating the betr and PointsBet brands in the Australian wagering market.
“I am confident that this will create enhanced shareholder value for shareholders of PointsBet, of which betr is the largest, with our company holding 19.9 per cent of the shares in PointsBet.”
But in a short statement, PointsBet said that, based on betr’s closing share price on June 19, its offer has implied value of $1.086 per PointsBet share, which remains “materially below” the $1.20 in cash per share being offered by Mixi.
