Amaya to repurchase stock and review B2B business divisions

Amaya Gaming Plc has announced plans to repurchase (buy back) approximately 5% of its public float in 2015, as the company looks to maximise long-term shareholder value.

Amaya who purchased online poker leader Rational Group in 2014 in a leveraged $4.9 billion acquisition, will look to cancel up to 5.4 million common shares which the operator will fund through proceeds of certain divestments (corporate reductions/sales).

The operator issued the following corporate statement

“Amaya believes that it’s current share price does not reflect the underlying value of the Corporation, and that purchasing shares for cancellation will increase the proportionate interest of, and be advantageous to, all remaining shareholders”

“The Corporation intends to buy back common shares for cancellation from time to time when it determines the price at which they are trading is undervalued and that such purchases provide the best use of available cash. The NCIB is subject to acceptance by the Toronto Stock Exchange (“TSX”) and, if accepted, will be made in accordance with the applicable rules and policies of the TSX applicable.”

The operator’s plans to maximise shareholder value have led to a strategic review of its business divisions. Amaya confirmed that it had agreed the sale of its Ongame Poker Network division to NYX Gaming Group.

Amaya Gaming Group is further evaluating the potential sale of its Cadillac Jack B2B land based gaming solutions business, as the operator looks to focus its growth and development efforts on PokerStars and Full Tilt gaming brands