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Ader’s Springowl tells GVC Holdings to increase its bwin.party bid


New York activist investor Jason Ader has suggested that GVC Holdings Plc will need to increase its 122.5p ($1.91) per share offer in order to succeed in its takeover bid for bwin.party Entertainment.

Ader’s investment fund Springowl, which owns 5.2 percent of bwin.party, has stated that GVC Holdings and its bid backer Cerberus Capital Management will need to up its offer to approximately 140p per share in order to be in contention with 888 Holdings’ accepted offer.

Spingowl’s statement is the latest twist in the takeover of bwin.party, following GVC’s announcement this Monday that it would offer £1 billion for the operator, out bidding rival 888 Holdings’ £900 million which was favoured by bwin.party governance.

Bloomberg News reports that Ader a key stakeholder in negotiations, is seeking a bigger premium from GVC as its takeover bid and plans for bwin.party operations represent a risker proposition for the company’s future and its investors.

Spingowl notes that 888 Holdings hosts better co-synergies with bwin.party operations, the company takeover would therefore be any easier processes. The investment firm has noted GVC’s strong intent on acquiring bwin.party operations, however a higher premium would have to be offered in order to match 888’s takeover assets.

Having accepted 888 Holdings £900 million bid, bwin.party governance are helping deliver the final takeover terms to company investors. However the operator’s governance will remain open to competitor bids should they be deemed “deliverable”. 

Read more: http://www.sbcnews.co.uk/sportsbook/2015/7/29/aders-springowl-tells-gvc...

 

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