At the beginning of September, LeoVegas’ shareholders agreed to the acquisition offer put forward by MGM Resorts International. As a result, the online gambling operator is now preparing for the transition. As a part of the process, LeoVegas elected a new board.
LeoVegas Unveils New Board
LeoVegas’ new board of directors will have three members, which will include Gustaf Hagman, the company’s chief executive officer, William Hornbuckle, MGM Resorts International’s chief executive and Gary Fritz, who is head of gaming at IAC, one of LeoVegas’ biggest shareholders. The new board, as announced by LeoVegas, will be headed by Fritz who will serve as its chairman.
LeoVegas explained that the three directors will not receive any remuneration for their work as directors. The new board’s mission will be to oversee the upcoming transitioning process following MGM’s acquisition of LeoVegas’ business.
The new board of directors will continue working in its current form until the end of LeoVegas’ next annual general meeting.
MGM Resorts Acquired LeoVegas
MGM Resorts proposed to buy out LeoVegas in May. The former company initially put forward $607 million for the deal to acquire the Swedish mobile gaming operator. As proposed by MGM resorts, it would pay SEK61.00 (around $6.20) in cash per share for the deal.
In late August, MGM Resorts managed to successfully secure all necessary government clearances to proceed with the deal. Following that, LeoVegas contacted its shareholders and asked them about their input. After shareholders unanimously approved the agreement with a whopping $96% approval rate, the two companies proceeded with their agreement.
MGM Resorts later said that it had come into possession of 30,400,000 LeoVegas shares. In total, MGM Resorts, which was previously one of the biggest LeoVegas shareholders, now owns a total of 93,447,289 shares, which represent 95.7% of the Swedish operator’s business.
Other News about LeoVegas and MGM Resorts
In other news, a month and a half ago, LeoVegas posted its Q2 results. The company’s financial gains more or less plateaued as it recorded a modest 1% year-on-year revenue increase. The number of depositing players decreased ever so slightly but the number of the operator’s loyal depositing customers increased.
MGM Resorts, on the other hand, just penned a groundbreaking partnership with ExteNet that will see the latter supply 5G internet to many MGM properties in the United States. The new service will roll out in 25 MGM Resorts properties and will impact the experience of over 70 million visitors a year, according to estimates.