Golden Matrix Group, Inc. (GMGI) has released an update on its pending acquisition of MeridianBet Group. The company has filed an amendment that will allow MeridianBet and GMGI to use up to $20m toward closing costs and to extend the transaction’s closing date.
The amendment was filed due to actual MeridianBet cash on hand exceeding the most recent projections.
Both companies have agreed that MeridianBet will contribute toward closing costs, which total $30m. However, the amendment allows MeridianBet to have discretion regarding the amount the company pays toward closing.
GMGI CEO Anthony Brian Goodman elaborated further on the new terms by saying, “These recent filings reinforce the importance of this strategic acquisition and demonstrate both companies’ willingness and ability to close the transaction.
“The amendment allowing GMGI and the sellers to use up to $20m of the MeridianBet Group’s cash-on-hand at closing (subject to the sole discretion of the sellers), not only provides the company with potential greater flexibility on financing, but we believe also demonstrates the sellers’ confidence in the value of creating a combined entity capable of being greater than the sum of its parts.”
Goodman went on to add that both companies are confident the deal will wrap up in a timely manner.
He said, “Both MeridianBet Group CEO, Zoran Milosevic, and I are confident that the completion of this acquisition will drive long-term value for all our stakeholders as we seek to benefit from economies of scale and both companies’ historical revenue and profit growth.
“We are also working closely with our bankers in an effort to raise the most beneficial financing available for the transaction.”
GMGI anticipates closing the deal during the fourth quarter of this year or by next year’s first quarter at the latest, pending the customary closing conditions.
