Amaya Completes Purchase Price Obligation on Rational Group Acquisition
Almost three years after the acquisition of Rational Group for a fee of $4.9 billion, the Canadian gaming and online gambling company – Amaya Inc – has made a final payment on the deferred purchase price obligation, thus completing the acquisition process entirely.
Rational Group Purchace Obligation Completed
In a purchase deal signed and sealed in August 2014, Amaya Inc acquired full ownership of Rational Group as well as Rational-owned brands, world-famous PokerStars and Full tilt.
Amaya has fulfilled the agreement by paying the remaining balance of $47.5 million and around $870,000 in related fees.
Three previous payments, in November 2016, February 2017 and April 2017were in excess of $200 million and two identical payments worth $75 million, respectively.
The $400 million deferred payment obligation under the full purchase deal to acquire Rational Group was supposed to be paid in full by 1 February this year, but the two companies ultimately agreed to a revised schedule in January.
Amaya used operational cash flow to fund the final payment.
Toronto-based gaming company, Amaya Inc is a leading provider of technology-based products in the global gambling industry.
The acquisition of Rational Group expanded Amaya’s portfolio which now consists of flagship names including BetStars, StarsDraft and the full offering from the PokerStars brand, incorporating the aspects of the European Poker Tour, Poker Stars Caribbean Adventure, Latin American Poker Tour and the Asia Pacific Poker Tour.
The aforementioned brands generate more than 111 million cumulative registered customers globally.
In addition to its poker offering, Amaya uses certain of these brands to offer non-poker products – casino, sportsbook and DSF – whereas it is Amaya’s subsidiaries who allow the Canadian giant to spread its products and services in various jurisdictions across the globe.