Fortuna Entertainment Group, a leading sport betting company, has acquired 100% share in Hattrick Sports Group Ltd., Ireland (”Hattrick Sports Group”). The sellers are Hattrick Sports Group LLC (U.S) and other shareholders and share warrant holders. According to a press statement issued by Fortuna Entertainment Group, the transaction is subject to conditions precedent including approval of the competition councils and by the shareholders of Fortuna. The closing of the transaction is expected to occur in the first half of 2017.
Romanian independent law firm Țuca Zbârcea & Asociații took a lead role on the deal advising on the Romanian related legal issues incident to the transaction. Partner Cristian Radu, specialising in Gambling law, headed the team of lawyers who acted on buyer’s side on this project.
The target deal in Romania is ”Casa Pariurilor”, the second largest bet shops operator, having a network of over 700 outlets. The acquisition is driven by the plans of Fortuna to become the largest gambling operator in Romania.
Țuca Zbârcea & Asociații’s team has performed an in-depth legal due-diligence exercise and has assisted in the structuring of the transaction and, respectively, the drafting and negotiation of the transaction documents.
Currently, the firm is advising the client in the process of setting-up the acquisition finance.
The initial consideration to be paid by Fortuna for the acquisition of Hattrick Sports Group will be approximately EUR 85 million. As a further consideration, an earn-out mechanism has been agreed with the Sellers which is based on future financial performance of Hattrick Sports Group and which may lead to payment of a maximum additional amount of EUR 50 million. The initial consideration will be funded mainly via bank loans.
For further information on the deal, please refer to http://www.fortunagroup.eu/public/ae/bd/df/753847_1276149__20170220_FEG_Regulatory_announcement_English.pdf