MIXI Again Improves Offer for Control of PointsBet
It looks that the back-and-forth conflict between MIXI and Betr Entertainment Ltd. over ownership of the Australian gambling business PointsBet is coming to a close.
MIXI Australia declared on Thursday that it has raised its all-cash offer to AU$1.30 (USD$0.84) per share of PointsBet. There are just a few days left for shareholders to accept the offer.
"MIXI Australia’s offer will be extended until August 29 and will not be further extended,” the company stated.
MIXI's most recent "last and final" offer was made on Thursday. MIXI declared last week that it has raised the price of its PointsBet offer to AU$1.25 ($0.81US) per share.
MIXI Raises PointsBet Stakes
As of right now, Betr is offering 4.219 Betr shares for every Pointsbet share, which works out to AU$1.35 (USD$0.87) per share. According to Betr, the offer performs better than MIXI's all-cash offer, pointing to a large amount of synergy potential for combining operations.
"The increased offer price applies if MIXI Australia acquires 90% or more PointsBet shares and stays at AU$1.25 per PointsBet share if the company acquires less than 90%.
According to a PointsBet release, MIXI Australia has increased its ownership holding to 36.71% of PointsBet shares. The goal of MIXI is to reach 50.1% control. The board has advised PointsBet shareholders to accept the MIXI acquisition offer and to refrain from acting on the Betr offer.
Sell Off in Canada
At the moment, Betr owns 19.9% of PointsBet's stock. According to Thursday's MIXI statement, the takeover price would return to AU$1.25 if Betr did not support the most recent AU$1.30 MIXI proposal, as the 90% target would not have been reached.
As previously explained by Casino.org, all of this has significant ramifications for PointsBet's business in Canada. Hard Rock Digital will purchase PointsBet's Canadian business as part of the Betr all-share agreement.
The management of Betr said in April of last year that Seminole Hard Rock Digital, LLC had submitted a non-binding offer to buy some assets related to PointsBet's Canadian business. If the purchase went through, Hard Rock would pay Betr US$29.6 million for PointsBet Canada and concentrate only on the Australian market.
After evaluating the company's suitability to acquire PointsBet's Canadian operations, the provincial regulator, the Alcohol and Gaming Commission of Ontario, and iGaming Ontario, which oversees and regulates the province's iGaming sector, approved the MIXI takeover bid for PointsBet.
Casino.org has not yet been able to obtain clear confirmation from MIXI that the company has no plans to sell up the Canadian operation, despite reports to the contrary.
