MGM Resorts International floated around a bid on Monday to the Swedish Online Casino Company LeoVegas AB (LEOV.ST) for around $607 million, in an effort to take advantage of LeoVegas big European presence.
MGM made a recommended public tender offer for 61 SEK ($6,20) in cash per share, which represents a 44.1% premium to LeoVegas’ last closing price of 42.32 SEK on Friday afternoon.
MGM Resorts International has had remarkable success with their betting platform BetMGM, which earlier this year forecast more than $1.3 billion in revenue for 2022, a product that due to Pandemic made waves as the pandemic fuelled demand for online gaming.
LeoVegas, which has licenses in eight jurisdictions, including Sweden, Denmark, Italy, UK and the Netherlands have a part from their flagship website Leovegas.com also brands such as Royal Panda, GoGo Casino, Pixel.bet, Bet.UK, Expekt.com and Livecasino.com
LeoVegas recipe for success was to focus on the Mobile Users at an early stage of 2014, developing a top of the class mobile application whilst their competitors were still putting all of their efforts into making their desktop versions fully functional. When mobile gaming started to take over, LeoVegas was already known as the Premier Mobile Casino out there.
The Board of Directors of LeoVegas has, at the written request of MGM, permitted MGM to carry out a due diligence review of LeoVegas in connection with the preparation of the Offer. With the exception of information that was subsequently included in LeoVegas’ Q1 report for 2022, MGM has not been provided with any inside information regarding LeoVegas in connection with the due diligence review.
Liz Moreno is a New Jersey based freelance writer and a huge US Sports aficionado. She keeps up to date with all things US when it comes to betting, casinos and regulations.