LAS
VEGAS, Aug. 31, 2022 /PRNewswire/ -- MGM
Resorts International (NYSE: MGM) ("MGM Resorts" or the "Company")
today announced that its public tender offer for the shares of
LeoVegas AB (publ) ("LeoVegas") has been accepted by 96% of
LeoVegas shareholders at a price of SEK
61.00 in cash per share, equivalent to a total tender value
of approximately $604
millioni. Settlement of the shares is expected to
be initiated on or around September 7,
2022.
"The completion of this transaction represents a major milestone
for MGM Resorts as we continue to pursue our strategy of growing
our online gaming footprint worldwide," said MGM Resorts' CEO &
President Bill Hornbuckle. "We look
forward to welcoming the LeoVegas team and are excited to begin
working with them to grow our global digital gaming business and
maximize the full potential of our omnichannel strategy."
"Joining forces with MGM Resorts is a major win for LeoVegas and
we're excited to begin working with our new teammates to build upon
the work we've done over the last 10 years," said LeoVegas Group
CEO Gustaf Hagman. "MGM Resorts is a
premier gaming entertainment company and we look forward to
leveraging their expertise to further our long-term strategic
goals."
Founded in 2011 by Gustaf Hagman
and Robin Ramm-Ericson, LeoVegas is
a leading global online gaming company with licenses in
nine jurisdictions primarily in the Nordics and rest of
Europe. LeoVegas generated
EUR 394 million in revenue and
EUR 46 million in Adjusted
EBITDAii during the twelve months ended
June 30, 2022. The business is
headquartered in Stockholm with
major offices in Malta,
United Kingdom and Milan.
MGM Resorts believes the acquisition of LeoVegas will provide a
unique opportunity for the Company to create a scaled global online
gaming business with the following attributes:
- Strategic Opportunities to Accelerate Growth and Product
Offerings – LeoVegas' online casino and sports betting
capabilities and strong customer base outside of the U.S. is
expected to further expand MGM Resorts' presence around the
world.
- Experienced Online Gaming Management Team and Superior
Technology Capabilities – LeoVegas' management team has
demonstrated the ability to develop a robust and scalable
technology platform with advanced product offerings.
- Commitment to Continued Profitable Growth –
LeoVegas has operated profitably as a high-growth platform since
2014. From 2017 to 2021, LeoVegas' revenues compounded annual
growth rate was 16%, while maintaining strong profitability. MGM
Resorts' scale, brands and expertise will allow the combined
businesses to expand within existing gaming segments and provide
incremental opportunities to enter new areas.
Advisors
MGM Resorts has retained Goldman Sachs &
Co. LLC. as financial advisor, Advokatfirman Vinge KB and Weil,
Gotshal & Manges LLP as legal counsel and Fox Rothschild as
gaming counsel in connection with the offer.
About MGM Resorts International
MGM Resorts
International (NYSE: MGM) is an S&P 500® global entertainment
company with national and international locations featuring
best-in-class hotels and casinos, state-of-the-art meetings and
conference spaces, incredible live and theatrical entertainment
experiences, and an extensive array of restaurant, nightlife and
retail offerings. MGM Resorts creates immersive, iconic experiences
through its suite of Las
Vegas-inspired brands. The MGM Resorts portfolio encompasses
33 unique hotel and gaming destinations globally, including some of
the most recognizable resort brands in the industry. The Company's
50/50 venture, BetMGM, LLC, offers U.S. sports betting and online
gaming through market-leading brands, including BetMGM and
partypoker. The Company is currently pursuing targeted expansion in
Asia through the integrated resort
opportunity in Japan. Through its
"Focused on What Matters: Embracing Humanity and Protecting the
Planet" philosophy, MGM Resorts commits to creating a more
sustainable future, while striving to make a bigger difference in
the lives of its employees, guests, and in the communities where it
operates. The global employees of MGM Resorts are proud of their
company for being recognized as one of FORTUNE® Magazine's World's
Most Admired Companies®. For more information, please visit us at
www.mgmresorts.com. Please also connect with us @MGMResortsIntl on
Twitter as well as Facebook and Instagram.
About LeoVegas Mobile Gaming Group
LeoVegas' vision
and position is "King of Casino". The global
group LeoVegas Mobile Gaming Group offers games on
Casino, Live Casino, Bingo and Sport. The parent company
LeoVegas AB (publ.) is located in Sweden and its operations are
mainly located in Malta. The company's shares are
listed on Nasdaq Stockholm. www.leovegasgroup.com
Forward Looking Statements
Statements in this release
that are not historical facts are forward-looking statements,
within the meaning of the Private Securities Litigation Reform Act
of 1995, as amended, and involve risks and/or uncertainties,
including those described in the Company's public filings with the
Securities and Exchange Commission. Forward-looking statements can
be identified by the use of forward-looking terminology such as
"believes," "expects," "could," "may," "will," "should," "seeks,"
"likely," "intends," "plans," "pro forma," "projects," "estimates"
or "anticipates" or the negative of these words and phrases or
similar words or phrases that are predictions of or indicate future
events or trends and that do not relate solely to historical
matters. The Company has based forward-looking statements on
management's current expectations and assumptions and not on
historical facts. Examples of these statements include, but are not
limited to, the Company's expectations regarding the closing of the
acquisition and any benefits expected to be received from the
acquisition. Forward-looking statements depend on assumptions, data
or methods that may be incorrect or imprecise, and the Company may
not be able to realize them. The Company does not guarantee that
the transaction or other events described herein will happen as
described (or that they will happen at all). These forward-looking
statements involve a number of risks and uncertainties. Among the
important factors that could cause actual results to differ
materially from those indicated in such forward-looking statements
include risks related to the Company's ability to complete the
transaction on the terms described herein or all, the satisfaction
of the closing conditions, including the receipt of regulatory
approvals, to which the completion of the transaction is subject,
which could delay or prevent the completion of the transaction, the
continued impact of the COVID-19 pandemic on the Company's
business, the effects of economic conditions and market conditions
in the markets in which the Company operates and competition with
other destination travel locations throughout the United States and the world, the design,
timing and costs of expansion projects, risks relating to
international operations, permits, licenses, financings, approvals
and other contingencies in connection with growth in new or
existing jurisdictions and additional risks and uncertainties
described in the Company's Form 10-K, Form 10-Q and Form 8-K
reports (including all amendments to those reports). In providing
forward-looking statements, the Company is not undertaking any duty
or obligation to update these statements publicly as a result of
new information, future events or otherwise, except as required by
law. If the Company updates one or more forward-looking statements,
no inference should be drawn that it will make additional updates
with respect to those other forward-looking statements.
MGM RESORTS CONTACTS
Investment Community:
ANDREW CHAPMAN, Director of Investor
Relations
(702) 693-8711, achapman@mgmresorts.com
News Media:
BRIAN
AHERN, Executive Director of Communications
media@mgmresorts.com
LEOVEGAS CONTACTS
Gustaf Hagman, Group
CEO
+46 (0) 8 410 367
66, gustaf.hagman@leovegasgroup.com
Stefan Nelson, Group
CFO
+356 993 942 68, stefan.nelson@leovegasgroup.com
Philip Doftvik, Director of Investor Relations and Corporate
Finance +46 (0)73 512 07
20, philip.doftvik@leovegasgroup.com
i Based upon 97,652,970 outstanding shares of LeoVegas and
a USD/SEK exchange rate of 9.87.
ii Definition of Adjusted EBITDA per LeoVegas' financial
reports. The amount has been calculated as the sum of the Adjusted
EBITDA figures in LeoVegas' financial reports for the third and
fourth quarters 2021 and the first and second quarters 2022.
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SOURCE MGM Resorts International