$3.48 Billion Deal Offered to Purchase Amaya from Former CEO David Baazov
It was confirmed that former Amaya Chief Executive Officer David Baazov has offered a $3.48 billion cash offer to acquire the company. Amaya confirmed the CAD$24 per share bid today in a press release.
The deal consists of a $200 million deposit contingent of a definitive agreement between the two. Amaya’s stock at close on Friday of last week was CAD$18.34. This makes Baazov’s offer worth 31% more than what it values in the stock market.
The $200 million deposit will be constructed into a structural one-year subordinate with obligations to fund the deferred purchase price of Amaya’s acquisition of the Rational Group back in August of 2014 with interest bearing debt. It will also be translatable into equity after the closing of the potential transaction takes place.
Baazov actually owns a little more than 17% of Amaya. Therefore, the cash offer isn’t coming from him directly, but from a company that hasn’t been created as of yet, but from one that he will lead. Baazov left the company in August resigning from his role after accusations and charges were filed.
Amaya released a statement regarding Baazov’s offer saying,
“As of the time of this release, there can be no assurance that Mr. Baazov’s offer or that any future bid or offer will ultimately result in a completed transaction.”