The proposed $105 million acquisition of FX broker AvaTrade by Playtech PLC (LON:PTEC) has hit an obstacle.
In an update today, Playtech said that it had received a letter from the Central Bank of Ireland (CBI) opposing the proposed deal.
Playtech said it will be seeking clarification from the CBI today and will discuss certain issues raised in the letter. Playtech believes these issues can be addressed to the CBI’s satisfaction.
The company noted that it had already received approval for the Ava Trade acquisition from the Financial Services Commission in the British Virgin Islands.
Today’s news comes as a bit of surprise to many, as the AvaTrade acquisition was expected to receive all necessary regulatory approvals and to be completed in late September or early October.
The worries regarding the AvaTrade deal add to concerns about delays in receiving regulatory nods of approval for the proposed acquisition of Plus500 Ltd (LON:PLUS). Playtech stated today that it continues to work towards securing the one outstanding regulatory approval, having already received the consent of the Cyprus Securities Exchange Commission.
To view the official regulatory filing, click here.