8 December, AtoZForex.com, Lagos – The proposed Playtech AvaTrade acquisition took many unforeseen turns before finally reaching a conclusive end. Before the withdrawal of the potential acquisition deal by the selling party, a major stalemate was hit in the Central Bank of Ireland’s (“CBI’) opposition to the deal.
Playtech appeal granted
In follow up to this, Playtech went ahead to appeal the decision by the CBI to oppose its application to acquire AvaTrade Ltd (“AvaTrade”). The Irish Financial Services Appeals Tribunal has now allowed the appeal, rendering the deal open for reconsideration with the consent of the CBI. This decision was reached on grounds of error in the CBI’s decision-making process, therefore, the CBI will therefore reconsider a new decision.
The stalemate began after Playtech’s board announced that it has received an official letter from the Central Bank of Ireland (CBI) opposing the proposed deal, without divulging the exact content of the letter. In the meantime, the Financial Services Commission of the British Virgin Islands has already given Playtech its approval to acquire AvaTrade.
However, the firm has now clarified that the application was referred back to the CBI for further consideration, as the proposed acquisition of AvaTrade was terminated by the sellers on 23 November 2015, Playtech has withdrawn its application, bringing this process to a conclusion.
Plus500 acquisition breakdown
It is also worthy of mention that Playtech recently also terminated its impending acquisition of Plus500. This occurred following an update from the FCA on Friday, November 20th , 2015. Playtech decided that the necessary steps intended to be taken will not be sufficient to satisfy the UK regulator. This will inhibit the completion of the acquisition deal by stipulated date of 31st of December, 2015. Therefore, the board of Playtech decided to withdraw its change of control application to the FCA. The acquisition deal of Plus500 initially hit a road block in the UK’s Financial Conduct Authority’s refusal to permit the completion of the deal. Although, a regulatory approval for the acquisition had already been received from the Cyprus Securities Exchange Commission.
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