Bwin.party Digital Entertainment Share Discussion Threads

[gotnorolex] 08/9/2015 08:39

HANG SENG INDEX (^HSI) -HKSE
21,340.36 Up 756.84(3.68%) 3:34AM EDT

May be a good day for us!

[melody9999] 08/9/2015 08:12

Hi Crookman

I think the key thing is, and the reason for me posting, is that if you believe in the GVC / BPTY story, then BPTY is the place to invest right now. The recent fall in the GVC share price is probably long term holders in GVC (like me) having just sold GVC and bought into BPTY.

As always my timing was rubbish because I bought at 117p, but then I did sell out of GVC at the higher price too.

Certainly not the time to be selling BPTY (IMV but DYOR. Good luck

[stoph] 08/9/2015 05:51

Just remember that if using current GVC price to value Bpty, then allow for next GVC dividend to be paid approx 10p and we are almost half way to next exdiv date. So deduct 5p from GVC price

[crookman] 07/9/2015 22:31

Okay Cool, Don't get me wrong I can see Melody's point and it's fair. I'm just looking at this in simplistic view and in the end the outcome is the same it's just a point of view, we still get our GVC shares and the cash regardless of the BPTY price now.

[hubshank] 07/9/2015 22:10

I feel optimistic that Gvc will move this merger along quickly.

[dcoelho] 07/9/2015 22:09

Melody is right

[crookman] 07/9/2015 22:08

RECOMMENDED OFFER

for

bwin.party digital entertainment plc (“bwin.party”)
by

GVC Holdings plc (“GVC”)



to be effected by means of a Scheme of Arrangement under
Part VIII of the Gibraltar Companies Act

Summary

The boards of GVC and bwin.party are pleased to announce that they have reached agreement on the terms of a recommended offer pursuant to which GVC will acquire the entire issued and to be issued ordinary share capital of bwin.party. The Offer is intended to be effected by means of a scheme of arrangement of bwin.party under Part VIII of the Gibraltar Companies Act.
Under the terms of the Offer, bwin.party Shareholders will be entitled to receive:


For each bwin.party Share: 25 pence in cash and 0.231 New GVC Shares



The Offer represents a value of approximately 129.64 pence per bwin.party Share based on the closing price per GVC Share at the close of business on 3 September 2015 (being the latest practicable date prior to publication of this announcement). On this basis, the Offer values the entire issued and to be issued ordinary share capital of bwin.party on a fully diluted basis at approximately £1.116 billion.

[hubshank] 07/9/2015 22:08

Wow $37bn! Won't take long for Gvc to recover their investment!

[crookman] 07/9/2015 22:02

Hi Melody,

We have to agree to disagree I think, as you say 1 BPTY is worth .231 GVC which is the equivalent of just 94p per share plus the 25p cash in total 1.19. The original deal was 129.64 per share on those terms but that was when GVC was 452.5 on the day of the agreement in principle. So if the deal was approved on that day the BPTY price would be in effect be 104 + the 25p cash = 129 as per the deal. Because GVC is down at 110 that now as you say brings the deal down to 119 in total including the 25p so the value of a BPTY is only 94p in real terms.

This post is getting too complicated so the best way to sum it up I think is the deal is we exchange each of our shares for new shares and some cash regardless of the BPTY price at the time, the cash is fixed but the value of the shares received are purely based on the GVC price at that time.

The point I was making earlier was even if the BPTY price drops to .94 the deal still stands at 119 and with that in mind I think the price could drop still regardless, no problem if your holding out for the deal but not a good place to be if you intend to sell beforehand. It's the fair value not the actual one I'm talking about.

I would really appreciate any other views on this as it is complicated.

[melody9999] 07/9/2015 19:58

Crookman 6538. I think you have that wrong. You cannot just discount the 25p cash.

If a BPTY share is worth 25P + 0.231 GVC shares.

Then if GVC is at 410p, a BPTY share is worth (410 X .231)+ 25 = 119.71

So when the takeover happens, for each share we own, we will receive 25p in cash and 0.231 of a GVC share.

Which means at present that BPTY is undervalued and assuming that the deal is 100% guaranteed to go ahead, should be valued at 119p right now to be of equitable value to GVC.

[hubshank] 07/9/2015 15:07

This is what I was looking for.... Aside from all the M&A activity, the strategy moving forward...


hxxp://www.sbcnews.co.uk/retail/2015/07/31/bwin-targets-italian-independent-retail-owners-with-obiettivo-2016-brand-licensing-partnership/

[crookman] 07/9/2015 15:04

Certainly would!!! But I fear that ships sailed now with GVC knocking at the door. Mind you our lot have never given too much away to us holders. All we’ve ever had in a kick in the pants watching them destroy the share price over the years while taking massive salaries…̷0;bitter –not much!!

[gotnorolex] 07/9/2015 14:53

The sale of World Poker Tour to Ourgame netted us €37m, would be nice to see that distributed to us BPTYers in a special divi!

[crookman] 07/9/2015 14:28

No, it's just the terms of the GVC offer. 25p cash and .231 GVC shares. It's GVC's price that will move ours now (less the cash element of course). if you look the GVC price increased by 2.5p less than 1 hour ago upping the offer by .5p and the BPTY price increased too.

[tines] 07/9/2015 14:21

Do u think so down because 888 selling their bpty shares?

[crookman] 07/9/2015 13:33

Just a note of caution to anyone buying at around 102-3. With the GVC price currently at 410 this makes the TO deal worth around 119. If you deduct the 25p cash element of the deal from the 119 it gives you a fair value price for BPTY of 94p, so you are buying at a premium and will need the GVC price to increase going forward to about 445 to ensure the 102 price for BPTY is fair. IMHO the BPTY price could fall further towards 94p the closer we get to the deal being ratified IF GVC does not turn around. It’s fine to buy if you are holding out for the deal to complete and take the new GVC shares but could be dangerous to buy simply with a view to collecting the divi and sell again, as ever DYOR and GL.

[nw99] 07/9/2015 13:06

Added more

[hubshank] 07/9/2015 12:53

Was it somebody on here that claimed GVC would make $5bn from cross selling the sportsbook to its existing punters?

If so, what was your reference? I'd like to read it for myself. Many thanks

[stephen1946] 07/9/2015 12:29

I have indeed, binary for me until markets settle. Chinese have some important data out tues,wed and thus. inflation figures plus manufacturing output numbers.

GVC, bpty will be a no no for me, Norbert is a loser.

Hills don't have the Wonga to buy 888 who will, I think, remain independent, unless Permira get tired of waiting. No rush though, lets see why 888 puled out, the jewish guys at 888 are very switched on, if they say bpty is not worth a penny more, I want to see GVC prove them wrong. There must be a goblin somewhere. GLA

[jeff h] 07/9/2015 11:59

Just bought some here, goes xd for 1.92p this Thurs.

[gotnorolex] 07/9/2015 11:47

Did you not quit gambling stocks stephen?