A company set up to help purchase gaming companies has been given a cash boost in its bid to acquire Playtech.
JKO Play Limited, which is intending to buy Playtech, received news that it will be backed by an Indian businessman named Vikrant Bhargava.
Bhargava is understood to have told JKO that he will back the firm if and when it makes an acquisition attempt.
The news featured in an article in British newspaper The Times.
Bhargava has a full and busy history when it comes to the development of online kasinos and other similar sites in the sector.
He was responsible for setting up a site called PartyGaming several decades ago.
He spent time in the company as its head of marketing before the company was merged.
Ultimately, he is understood to be valued at just under $700 million.
It is believed that his offer to JKO involves entering into a part-financing deal in which he will provide some of the capital and the company will provide the rest.
Bhargava is expected to provide the funds from his company, Veddis Ventures, which has been set up for investment purposes.
The move comes amid a backdrop of significant change for Playtech. The company is up for sale, although not with much interest.
Until recently, the Playtech acquisition was expected to be carried out by Aristocrat Leisure Limited.
The company had proposed to spend close to £3 billion on Playtech, which is headquartered in the Isle of Man.
Aristocrat Leisure Limited, which is based in Australia, was speaking publicly in January 2022 about how it believed its offer was the only one still firmly on the table.
But Playtech recently chose to put off the decision among its stockholders. Now, the market will have to wait until early February before it knows which entity will buy the firm.
Companies with potential interest have been told that they need to submit their intention by a few days before the end of January.
Playtech itself is one of the sector’s most well-known provider of kasino games.
It was established just before the new millennium and offers both software packages and games. Its clients include some of the most well-known iGaming providers.
However, it has seen its star decline somewhat recently. Its revenues went down significantly over the course of 2020 due to the coronavirus pandemic.
Ultimately, Playtech saw a decline north of 25% when measured year on year. This represented a drop of just over £900 million.
The decline was reflected in both its business output and its consumer work.