The announcement of the extension, is the first communication made by Sportech on its potential takeover bid by Contagious Gaming which was first announced on 18 August.
Entering discussions in August Contagious Gaming stated that it wished to acquire Sportech operations to create a “combined, technology-focused, sports wagering company”.
The put up or shut up (PUSU) deadline (normally set to a 4 week period) had passed its deadline following Contagious Gaming’s initial takeover bid notification. Sportech governance has therefore applied to The Panel on Takeovers and Mergers to extend the deadline to allow talks to continue and a new deadline has been set for 5pm on 9 October 2015.
With regards to a takeover bid, Sportech governance has stated that it would only recommend an August premium price on its closing share price of 62.53 pence to its investors.
The gambling technology provider further noted that the deal would have to be negotiated with a majority of cash value to make it favourable for progress.