Ainsworth Game Technology’s board has recommended shareholders accept a $336.8 million takeover proposal from Novomatic, its majority shareholder. Novomatic, which currently holds 52.9% equity in Ainsworth, aims to acquire the remaining 47.1% of shares at $1 per share. This offer represents a 35% premium to Ainsworth’s last closing price and a 28% premium to the six-month volume-weighted average price as of April 24.
The all-cash agreement values Ainsworth at approximately seven times its FY24 EBITDA of $48.2 million. The deal is subject to shareholder approval, with certain shareholders potentially receiving fully-franked dividends declared at the discretion of the Ainsworth board prior to the acquisition. Ainsworth’s chair, Daniel Gladstone, emphasized that the Novomatic proposal offers a significant premium and attractive value for minority shareholders. The Australian Foreign Investment Review Board has already approved the takeover, which Novomatic plans to fund through existing cash reserves and third-party debt financing.
