Stockholm, Sweden (30 September 2009). Entraction has developed very strongly
since 2007, when the Global Betting Exchange Group was given warrants in
Entraction. The warrants gave the Global Betting Exchange Group the right to
subscribe for 2,500,000 class B shares in Entraction for a price of 21 SEK pro
share, which in yesterday's closing price equals a value of the share options
of approx 80 MSEK. Following negotiations between the Board and representatives
of the Global Betting Exchange Group, it has been agreed that Entraction will
acquire the warrants at a price of in total 2.25 million euro, equaling approx.
23 MSEK. The acquisition is dependent on resolution by the general meeting of
shareholders.
Immediately on execution of the acquisition the warrants will be cancelled. Had
Global Betting Exchange Group exercised the warrants it would have resulted in
a dilution of 19.4% of capital and 15.5% of votes. The acquisition effects the
cash flow, but not the result as the acquisition cost is made against equity.
”We are delighted to have enjoyed the support of the Global Betting Exchange
Group in the development of Entraction over the past two years and in agreeing
to Entraction acquiring the warrants at a price substantially lower than
current trading price, thus delivering significant value to our shareholders.
The exercise of the warrants would have incurred a large dilution at a low
valuation relative to the strong development Entraction has shown the past two
years”, says Peter Åström, CEO Entraction.
Extra general meeting of shareholders will be summoned as soon as possible.
For more information, please contact:
Pia Rosin, Corporate Communications Director, +46 70 753 22 46
Peter Åström CEO, +46 8 564 884 60
About Entraction
Entraction is an international group within the digital gaming industry.
Entraction Holding works with general issues relating to strategy and business
development, as well as the provision of financing and skills within the Group.
The company continuously evaluates
business opportunities that can strengthen and develop the Group.
Entraction Solutions offers complete software systems for online gaming and
operates one of the largest open poker networks in the world. The company
offers partners software for poker, betting, casino and bingo, as well as
peripheral services, such as web design, gaming licenses, operation, payment
solutions, promotional tools and 24-hour end-user support. The poker network is
operated by subsidiaries in Malta that are licensed to market and conduct
proprietary gaming activities and to deliver gaming services to partners in the
poker network.
Entraction Holding AB is listed on First North Premier and has approx. 7.800
shareholders. The company's Certified Advisor is Remium AB. Please, visit
www.entraction.com for more information.
