Golden Matrix has made another set of amendments to its agreement to acquire southeastern Europe and Latin American operator MeridianBet.
The Las Vegas-based gaming operator has revealed that the financial terms of the deal have been modified for the second time, as it will use $20m of cash-on-hand of MeridianBet Group to pay a portion of the $30m cash due at the deal’ closure.
It follows an amendment earlier this summer in which the original $300m acquisition price increased to $331m following positive performance from the betting operator, which is active in southeastern Europe, Africa and Latin America.
Anthony Brian Goodman, Golden Matrix CEO, explained: “These recent filings reinforce the importance of this strategic acquisition, and demonstrate both companies’ willingness and ability to close the transaction.
“The amendment allowing GMGI and the sellers to use up to $20m of the MeridianBet Group’s cash-on-hand at closing (subject to the sole discretion of the sellers), not only provides the company with potential greater flexibility on financing, but we believe also demonstrates the sellers’ confidence in the value of creating a combined entity capable of being greater than the sum of its parts.”
Meanwhile, Golden Matrix has also notified stakeholders that it expects the transaction to close within the next six months, explaining that closure is anticipated in either Q4 of 2023 or Q1 of 2024.
The acquisition is currently subject to shareholder and NASDAQ regulatory approvals but neither process is expected to be an issue.
Goodman added: “Both MeridianBet Group CEO Zoran Milosevic and I are confident that the completion of this acquisition will drive long-term value for all our stakeholders as we seek to benefit from economies of scale and both companies’ historical revenue and profit growth.
“We are also working closely with our bankers in an effort to raise the most beneficial financing available for the transaction.”
