The governance of London-listed racing technology and systems provider Sportech Plc has confirmed that it has accepted a £20.9 million buyback of shares issued under a ‘tender offer’.
Issuing a corporate update to investors, Sportech governance detailed that it will seek to purchase approximately 20.6 million shares under the offer at a price of 101.5 pence each.
Sportech detailed that a number of its corporate directors had participated in the tender offer, with Non-Executive Chairman Roger Withers selling 12,015 shares and Chief Executive Officer Ian Penrose selling 88,200 shares. Non-Executive Directors Maneck Kalifa and Richard McGuire sold 8,961 and 30,000 shares respectively.
The share buyout by Sportech will be purchased by financial services firm Investec for cancellation and represents approximately 10% of the firm’s existing share capital.
Sportech Plc will look to fully execute its share buyback by 28 March 2017.
Last March, Sportech Plc confirmed that it had agreed to sell its Football Pools product to London private equity firm OpCapita for a reported £83 million cash.
Sportech governance stated that the funds gained from the transaction would be used to reward investors with a £20 special dividend and further invest in its growing US racing business division.