ZEAL Networks’ bid to “reunite” with Lotto24 AG would be derailed if shareholders vote to postpone the Extraordinary General Meeting (EGM) scheduled for January 18, 2019 in which a vote on ZEAL’s takeover bid of Lotto24 AG is scheduled to take place.
The statement follows a public statement from LottoLand who called for a postponement on the EGM amid claims that the deal was not in the majority of shareholder’s interests (see previous report).
ZEAL Network said: “… it would like to clarify for shareholders that the proposed adjournment, if shareholders attending the meeting were to give their consent, would result in termination of the planned takeover bid for Lotto24 AG (“Lotto24”) and a cooling-off period of 12 months before a potential new bid could be made, due to the German takeover law process framework for the transaction.”
“Contrary to Lottoland’s representation, ZEAL shareholders would therefore not be able to choose between the Lotto24 transaction and any transaction Lottoland may or may not propose in the future.”
Dr Helmut Becker, CEO, ZEAL, commented:
“There are currently no other proposals on the table for shareholders to consider and we have no evidence that any serious alternative offers will materialise. We remain open to discussing serious proposals until 18 January when our shareholder meeting will take place as planned. However, seven weeks have already passed since we first announced our proposal, and we are already holding the meeting towards the end of the regulatory timetable. Our plan to reunite ZEAL and Lotto24 has the strongest strategic rationale, offers the best opportunity for sustainable growth and creates the most value for ZEAL’s shareholders.”