From yesterday’s announcement by Reuters source of knowledge, it was rumoured and indicated that the Playtech AvaTrade is a done deal. However, some of the senior representatives of AvaTrade have clarified today in public that this publication is untrue. Basically, AvaTrade denies Playtech Acquisition, which was assumed by Reuters that the acquisition deal between Playtech and AvaTrade was completed. Another false statement that has been highlighted is the assumption that Playtech holds an option to buy a stake in AvaTrade, which has been rejected as well.
As reported on Monday, both parties Playtech the gaming giant and AvaTrade, the leading retail forex broker, were in the midst of the negotiation stage. Explanatory the motive behind Playtech and Mr. Teddy Sagi to acquire AvaTrade is logically, due to the set plans to enter the forex market, playing on the B2C as well as B2B markets. Mr. Teddy Sagi and Playtech already have initiated the initial move through the acquisition of FxTrade, controlling now also over Markets.com.
Therefore, Playtech aims to add the leading retail brokerage to its portfolio for the B2C side of the plan. If the gaming giant possess over AvaTrade, not only will the broker’s offering of 200 trade instruments be beneficial, but more importantly Playtech will have a fully regulated broker in Europe, Australia, Japan and the British Virgin Islands.
Relating back to the mislead announcement of yesterday, the motive behind such practice could be of nature to enhance the process of negotiations between both parties by an unknown party, in order to boost up their readerships. Since the intent of the whole hoax remains a mystery at hand, Playtech and AvaTrade is currently still in the negotiations phase, while Playtech has also been rumoured to be in talks with IronFX for a potential acquisition.