Playtech postpones shareholder vote as JKO takeover talks progress

(Alliance News) - Playtech PLC on Wednesday delayed a shareholder meeting called to vote on a takeover by Aristocrat Holdings Ltd to give JKO Play Ltd time to develop a counter offer.

The Isle of Man-based gambling software development company said it has changed the date for the vote on the acquisition by Aristocrat to February 2 from January 12.

In mid-October, Playtech agreed to be bought by Sydney-listed Aristocrat in a deal worth 680 pence per share.

Playtech also had previously been approached for takeover by Gopher Investments. The company later dropped the out when JKO Play became a third potential bidder in November.

Playtech had recommended Aristocrat to its shareholders before being approached by JKO Play and said Wednesday it continues to recommend that Playtech shareholders vote in favour of the Aristocrat offer.

Aristocrat, in its own statement on Wednesday, noted that its acquisition remains the only "firm" offer that has been made for Playtech.

Playtech said it has delayed the vote as discussions with JKO Play are progressing. JKO Play had asked that it be provided with more time to develop its potential offer for the company, Playtech explained.

The UK Takeover Panel confirmed that the put-up-or-shut-up date - latest date by which JKO Play must clarify its position - has been moved back to January 26. By this time, JKO Play must either announce a firm intention to make an offer for Playtech or announce that it does not intend to make an offer.

Despite the postponement, Playtech said there remains no certainty that JKO Play's approach will result in an offer for the company.

Shares in Playtech were down 1.2% at 722.50p on Wednesday morning in London.

By Heather Rydings; heatherrydings@alliancenews.com

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