Golden Matrix and MeridianBet amend purchase agreement

Five months ago in January, MeridianBet Group and Golden Matrix entered into a $300m agreement that saw the latter seeking to acquire the group’s betting and gaming operations. Now, the companies have released a new press statement in which they have detailed an AmendedandRestated Purchase Agreement, which will allow them to extend the closing date of the transaction and also modify some of the additional terms of the definitive agreement.

Golden Matrix Group is still very much acquiring the company but with a few changes. For one, the requirement to pay $50m of the transaction of cash has been reduced to $30m. Another $20m in non-contingent cash will be considered after the transaction has been closed. Meanwhile, Golden Matrix is working on securing the financing required to ensure that the transaction goes through – which should be somewhere in the third quarter of the year.

Both companies seem to be happy with the negotiations. For one, Golden Matrix Group Chief Executive Officer Anthony Brian Goodman has welcomed the company’s readiness to renegotiate the terms and added that the total cash and stock transaction under the revised terms was now even higher than the original one – amounting to $331m.

This is mostly owing to MeridianBet’s sound performance and the company’s strong performance throughout the year so far, giving Golden Matrix Group an even greater confidence in moving forward with the deal, and pricing it accordingly. Goodman argued that this acquisition would yield significant benefits and long-term value for all stakeholders.

The update in the terms of the acquisition was disclosed as Golden Matrix Group is a publicly traded company listed on NASDAQ. This means that any operations regarding the company’s change of ownership or investment in new capital, or assets, must be disclosed to shareholders. Golden Matrix Group is hoping to leverage this acquisition with MeridianBet Group and strengthen its operation in Eastern Europe.

MeridianBetGroup is itself a well-represented operator of gaming and betting assets with a presence in 15 jurisdictions. The company operates in Europe, South America, and Africa and it will seek to significantly grow its footprint through this new transaction. The company’s sound financial results have already brought it immediate benefits as it will be cashing in more on the pending transaction with Golden Matrix.

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