South Africa’s Sun International has terminated its proposed acquisition of Peermont Holdings after a hearing by the Competition Tribunal was scheduled too late to meet the deal’s deadline.
The proposed R7.3 billion (approx. €359.6 million) deal was first announced in December 2023 and included Peermont’s Emperor’s Palace resort and its online sports betting brand, PalaceBet.
The transaction received approval from Sun International’s shareholders in March 2024 and was referred to the Competition Tribunal after the country’s Competition Commission recommended that the proposal be terminated, claiming that the acquisition would have detrimental effects on market competition in the region.
The Competition Tribunal still had the power to approve the transaction, and had set a date for its hearing and closing arguments for October.
The approval of the Competition Tribunal was a condition precedent to complete the acquisition, which had a longstop date of 15 September.
Accordingly, Sun International confirmed this week that as the hearing date is after the regulatory longstop date, both parties have mutually agreed to the immediate termination of the proposed transaction.
In related news, Sun International confirmed that Ulrik Bengtsson has begun his tenure as CEO after securing his South African work permit earlier this week.
Shares in Sun International Ltd (JSE:SUI) were trading 0.13 per cent higher at ZAC4,730.00 per share in Johannesburg Friday.