Shares of games software company Playtech fell 20% on Friday as a consortium led by former Formula 1 chief Eddie Jordan pulled out of the auction.
Jordan said in a statement that the JKO consortium has pulled out and is still looking for opportunities in the gaming business. According to the Financial Times, a group of Asian investors who recently bought Playtech scared off the Jordan-led consortium.
Aristocrat Hobbies, ALL,
an Australian slot machine maker, has agreed to buy Playtech for 680 pence per share, or £2.1 billion. Although Playtech recommends the offer, the company said “a number of significant investors have yet to meaningfully commit to their views on Aristocrat’s offer.”
Playtech PTEC,
shares fell 20% to 586 pence.
The FTSE 100 UKX,
fell 1.1% to 7504 midday as the UK index’s defensive characteristics were not enough to offset global market pessimism.
SMT Scottish Mortgage Investment Trust,
an investor in several tech games, fell more than 4%, such as Pershing Square Holdings PSH,
lost 3%. Mining groups including BHP BHP,
and Fresnillo FRES,
also collapsed.
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