The Stars Group, one of Canada’s leading gaming and online gambling companies, has announced that it is set to acquire Sky Betting & Gaming from private equity firm CVC Capital partner in a deal worth $4.7bn.
The Stars Group, known as being the owner of leading online Poker site Pokerstars, will pay $3.6bn in cash, with the remainder of the deal being comprised of $1.1bn in The Stars Group shares.
“The acquisition of Sky Betting & Gaming is a landmark moment in The Stars Group’s history,” stated Rafi Ashkenazi, the Company’s Chief Executive Officer.
“SBG’s premier sports betting product is the ideal complement to our industry-leading poker platform. The ability to offer two low-cost acquisition channels of this magnitude provides The Stars Group with great growth potential and will significantly increase our ability to create winning moments for our customers.”
CVC will receive the majority of this with its 71% controlling stake in Sky bet, whilst Sky plc will be entitled to $595mn in cash and $202mn in shares for the 20% that it owns of the business.
Once complete, the acquisition will create the world’s biggest publicly listed online gaming company.
“Following this transaction, The Stars Group will have significantly enhanced scale and a highly-regarded global brand portfolio,” Ashkenazi continued. “As a result, we are well positioned to realize our vision of becoming the world’s favorite iGaming destination.”