Borsa Milan-listed gambling firm Gruppo Gamenet SPA has issued a ‘senior non-convertible bond’ valued at approximately €225 million, which will be put forward to private institutional investors.
The non-convertible bond will have a maturity date set at 2023 and will be listed on Italian and European-wide bond exchange markets.
Updating investors, Gamenet governance details that it will utilise the proceeds of the bond transaction to primarily fund its €265 million acquisition of Italian bookmaker GoldBet (deal announced – 24 July 2018).
Led by Guglielmo Angelozzi, Gamenet seeks to become Italy’s biggest retail bookmaker, servicing +1,700 betting points should the acquisition of GoldBet be completed.
Gamenet’s outright takeover of GoldBet is currently being reviewed by the Italian competition authorities. In its update, Gamenet governance discloses that Deutsche Bank AG will act as ‘escrow agent’ for its bond transaction.
Should the Italian authorities allow the GoldBet acquisition, Deutsche Bank will move to make the bond proceeds available to Gamenet allowing the gambling firm to swiftly conclude its transaction.
Further to its update, Gamenet has confirmed that it has expanded its instant credit facility from €30 to €50 million with funds secured by Sanpaolo Bank and UniCredit SPA.