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Technology / AI and automation

Gambling firm Playtech will buy TradeFX for £150m

The gambling software firm Playtech has announced it will buy a 91.1% stake in the trading platform TradeFX for €208m (£150m).

The deal also includes a provision for €250m (£183m) to be paid on the basis of future performance, with the agreement expected to close in May.

Mor Weizer, chief executive at Playtech, said: "I am delighted to announce the proposed acquisition of TradeFX which provides entry into a highly complementary new market vertical where our combined operational superiority will enable exciting growth opportunities.

"In addition to being immediately and significantly earnings enhancing, the payment terms for the acquisition are weighted towards future financial performance of the business."

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He added that Playtech would retain "significant resources", allowing it to pursue other potential acquisitions in the future.

The move will mean that many of tech entrepreneur Teddy Sagi’s assets will be brought under one roof, with the businessman agreeing to lock up his shares in Playtech for a year as part of the deal.

At present Sagi holds a 33% stake in Playtech through a holding company, as well as owning TradeFX privately.

"TradeFX’s proven management team has a strong cultural fit with our business and is incentivised to stay with the enlarged Group," Weizer added.

This article is from the CBROnline archive: some formatting and images may not be present.