Kings Entertainment's merger with Bet99 on the brink of collapse
The proposed merger could be set to fall through after Kings Entertainment state that Bet99’s holding company is “refusing to complete” the deal
Kings Entertainment’s proposed merger with Bet99 is on the verge of falling through after it claimed the firm’s holding company, Sports Venture Holdings (SVH), was “refusing to complete” the necessary measures.
The merger was first agreed upon in May 2022 and revolved around completing a so-called ‘three-cornered amalgamation’, whereby SVH would merge with a soon-to-be incorporated subsidiary of Kings Group, which would then function as a wholly-owned subsidiary of the Kings business.
Under the terms of the deal, Bet99 CEO Jared Beber was expected to become CEO of the merged company, with current Kings boss Steve Budin expected to continue to lead LottoKings and take up an advisory position.
The merger was given shareholder approval in October 2022 and was subject to three extensions to nudge the deal over the line.
Following the latest extension expiring on 17 March, Kings Entertainment noted that despite its “willingness and ability” to complete the deal, a merger has failed to materialise.
In a statement, the company said: “Despite months of consistent effort by the [Kings Entertainment], Sports Venture Holdings is refusing to complete the previously agreed business combination of the company and SVH announced on May 25 2022.
“Despite the company’s willingness and ability to complete the business combination, SVH has advised that it does not intend to do so.”
Kings Entertainment said it was considering all options with respect to the enforcement of the merger and its other rights.
SVH is yet to release a statement regarding the deal.