Entain, the global sports-betting, gaming, and entertainment group announced the acquisition of the Poland-based sports betting operator STS Holdings. As Reuters news agency reports, Entain is launching a tender offer to acquire the full ownership of STS Holdings for a total consideration of 750 million pounds ($946 million).

London-listed Entain reportedly said that its offer is weighed at 24.8 Polish zlotys ($5.97) per STS share. The sports betting giant will reportedly pay about 450 million pounds in net cash for the acquisition of the leading sports wagering operator in Poland.

European Expansion:

Founded in 1997, the renowned Polish bookmaker is licensed to operate in the UK. It seems that it was there that the quality of STS operations were noticed by the sports betting giant which is now seeking acquisition of the operator. After the acquisitions of? Ladbrokes, Coral, and bwin that reportedly became Entain’s most popular brands, the company decided to add the Polish operator to the group to further support its expansion across Europe.

Funding the Offer:

According to the Reuters news agency, Entain said that the STS offer will be funded by the group’s Central and Eastern Europe vertical, Entain CEE, and partner EMMA Capital. The funding will be split within the joint venture in the ratio 75% : 25% which is equal to their respective ownership in the company Entain CEE.

The company uses the Morgan Stanley financial advisor services to reportedly raise about 600 million pounds through ”an accelerated book-build” and via a separate retail offer to investors using a dedicated platform to fund the deal.? On the other side, Entain reportedly also said that the MSTS Chief Executive Mateusz Juroszek and his father will return a part of the funds in Entain CEE in exchange for a 10% stake in this company.

Jette Nygaard-Anderson, Entain’s CEO, reportedly commented: “We are delighted to be acquiring the leading sports-betting operator in Poland, which is a hugely exciting and fast-growing market. STS is an exceptional business with a great brand, a compelling omni-channel offering, and an outstanding CEO and management team. The transaction is perfectly aligned with our Entain CEE strategy and our wider M&A strategy of acquiring high quality businesses with leading positions in attractive, growing and regulated markets.”

?Anderson added: ”Expansion across Central and Eastern Europe remains a core component of our growth plans, and STS will be an integral part of our platform in that region.”

Significant Growth Opportunities:

?Mateusz Juroszek, STS’s CEO, reportedly said : “I am very excited to be joining the board of Entain CEE, and see significant growth opportunities in the Polish market for STS under Entain’s ownership. Entain is a world class operator and has already made a significant investment in this region through SuperSport in Croatia.”

Juroszek also commented: ‘‘We could not have found a better partner to help us take STS into the next phase of its growth, and it is clear that Entain shares our ambition and vision for its future. I look forward to continuing to lead and grow STS, and to working in close collaboration with the Entain CEE team.”