Tabcorp Holdings Limited
(ASX:TAH) has announced it has acquired a roughly 10 percent stake in Tatts, entering into a cash-settled equity swap with an investment bank.
The equity swap has an average reference price of $4.34 per Tatts share.
Tabcorp has indicated the transaction is intended to help facilitate the proposed combination of Tabcorp and Tatts and provide shareholders with improved financial outcomes.
The company has indicated it has arranged new financing in connection with the swap.
Tabcorp Holdings Limited reported a net profit of $169.7 million at 30 June 2016.
