Industry: 888 cannot get back into the race, and rejecting the GVC bid could see bwin.party’s share price collapse.
Since the announcement that the bwin.party Board of Directors was switching its support from the takeover bid by 888 Holdings to the competing proposal from GVC Holdings, GVC’s share price has fallen by 11%. This has led a number of industry commentators to suggest that the takeover may be at risk.
This matters to bwin.party shareholders because the GVC bid is offering a mixture of GVC shares and cash in exchange for bwin.party shares. The fall in GVC’s share price means that the value of the bid has been reduced.