The syndication of 888 Holdings $650 million leveraged loan for the takeover of bwin.party Entertainment has been put on hold by investment banks Barclays and JP Morgan.
The financial institutions are said to be waiting for further clarity on the M&A process, following a new bid of 125.5 pence per share deal (bid sum £1.03 billion) by bid competitor GVC Holdings Plc placed on 8 August.
The banks had begun the process of raising funds for their client 888 Holdings, however last Friday it was announced that the loan facilities process had been placed on hold as they await for further information regarding bwin.party’s acquisition.
Although at present 888 Holdings lower £900 million bid remains the favoured option, UK business news sources report that Barclays and JP Morgan have decided to hold the process as best practice for potential institutional investors who may want to contribute to the takeover funding.
A final decision on its takeover is expected to be announced shortly by bwin.party governance. Key stakeholders with the organisation have stated that the 888 Holdings offer is the preferred option as the operator appears to have better synergies with bwin.party operations.