Playtech’s Share Price Dips, Announces Acquisition
Published on:
Dec/08/2009
(Reuters) - Shares in Playtech (PTEC.L) dip 1.8 percent to 411 pence after Numis cuts its rating on the online gambling software firm to "hold" from "buy", on valuation grounds as the share price nears its 425 pence target price.
Playtech also announces the acquisition of Gaming Technology Solutions for an initial consideration of about 10.8 million euros with further amounts payable based on profitability over the next two years capped at 21.6 million euros.
"Whilst the deal is unlikely to have material impact on short term earnings it looks a sensible strategic move," Numis says in a notes
"We would expect Playtech to make other such strategic moves for B2B technology companies," it adds.
