SBC News Voice of the Sports Betting Industry
Toronto TSX-listed The Stars Group Inc has today published a market update disclosing the target price attached to its public share offering, first announced on Monday 18 June 2018.
The Stars Group governance will move forward on a $38.00 per common share price, with the company having secured underwriters to purchase 17 million common shares, with a further 8 million shares sold by its existing corporate shareholders.
Supporting its public offering, the Stars Group will allow underwriters to execute an ‘over-allotment’ option set at ‘1,875,000 and 1,875,000 additional common shares’ (exercisable for a period of 30 days).
The firm’s public share offering will be made available on the Nasdaq and Toronto exchanges, with the Stars Group expecting to close the transaction by 26 June 2018.
As reported on Monday, the Stars Group governance intends to use the net proceeds secured from its placements, together with the firm’s new debt financing and cash structure to complete its outright $4.7 billion acquisition of Sky Betting & Gaming (Sky Bet).
Its new offering is not contingent on the closing of the Sky Bet acquisition or any debt financing. If for any reason the acquisition is terminated, Stars Group governance intends to use the net proceeds for general corporate purposes.
