Amaya said Monday that several parties including David Baazov have entered into confidentiality agreements regarding a transaction involving the company, while confirming that Baazov and CFO Daniel Sebag will not be standing for re-election as directors at Amaya's upcoming annual shareholders meeting.
The company said that a Special Committee, headed up by Dave Gadhia and established to evaluate any bids for Amaya, was continuing a review of strategic alternatives with the goal of determining the best outcome for Amaya and its shareholders.
It revealed that the committee's financial advisor Barclays Capital Canada had contacted a range of strategic and financial parties who might be interested in a transaction involving Amaya.
“To date, several parties, including David Baazov, who is on a leave of absence as chairman and chief executive officer of Amaya, have entered into confidentiality agreements with Amaya,” said the company. “A number of these parties have received management presentations and are conducting due diligence.
The committee believes the interests of Amaya and its shareholders are best served by maintaining confidentiality around the details of this process, but will provide further updates to shareholders as circumstances warrant.
While the review of strategic alternatives is proceeding, Amaya’s board said that it is also focused on ensuring that it is comprised of directors with an optimal range of expertise and experience.
The company confirmed that both Baazov and Daniel Sebag, Amaya's chief financial officer, have advised the board that they will not be standing for re-election as directors at Amaya's upcoming annual shareholders meeting.
Both have been long-standing members of Amaya’s board. Baazov has been with the company since 2006 and Sebag since 2007.
“The board is actively engaged in identifying suitable director candidates with competencies that complement those of Amaya's existing directors,” said Amaya.
The committee's mandate also includes responsibility for investigating allegations that have been made by the Autorité des marchés financiers (AMF) with respect to Baazov, and said that the investigation by the committee and its counsel is ongoing.
While the review of strategic alternatives is ongoing, Amaya’s board said that it remains inappropriate for the company to provide guidance with respect to its 2016 financial performance at this time. It reported a 6 per cent increase in revenue to $288.7m for the first quarter of this year.