Plus500 says deal with Playtech to be terminated if not consummated by end-December

Following today’s announcement from Playtech PLC (LON:PTEC) that the Financial Conduct Authority decision on the proposed £460 million acquisition of Forex and CFD broker Plus500 Ltd (LON:PLUS) is expected in December 2015, meaning another delay, the broker also published a statement.

Plus500 says that:

The terms of the Merger Agreement are such that it may be terminated if the acquisition is not consummated by 31 December 2015.

This means that the future of the deal now hinges on both the nature and the timing of the decision of the UK regulator.

In early October, Plus500 share price already felt the effect of investor pessimism regarding the deal and it would be interesting to see how the market reacts this time.

Plus500 said today that it is still managed on an independent, business as usual, basis and will continue as such. The broker also confirmed that if the deal with Playtech is completed, cancellation of admission of Plus500 Shares to trading on AIM is set to incur a corresponding delay.

To view the official announcement from Plus500, click here.

Read Also: