888 Holdings says it no longer sees “sufficient value” in bwin.party to warrant revising its offer to acquire the business, after the London-listed operator today backed a 129.64 pence per share bid from GVC Holdings.
The recommended offer from GVC, which values bwin.party at £1.116bn, resulted in the withdrawal of the bwin.party board's earlier recommendation of 888's offer.
“The 888 board has concluded that, as a result of its own extensive due diligence on bwin.party, it cannot see sufficient value in bwin.party to warrant a revision to its offer,” 888 said in a statement Friday. “Consequently, 888 confirms that it is no longer in discussions regarding the acquisition of bwin.party.
“The board of 888 remains focused on growing shareholder value by pursuing its strategic growth initiatives.”
Shares in 888 Holdings plc (Co. Data) (LSE:888) recovered to trade up 3.53 per cent at 167.72 pence per share in London Friday afternoon, having fallen as low as 146.75 pence per share earlier in the day following confirmation of bwin.party’s acceptance of GVC’s offer.