Why NeoGames (NGMS) Shares Are Shooting Higher Today

iGaming solutions provider NeoGames SA NGMS shares are jumping Monday morning as it agreed to be acquired by Australia's Aristocrat Leisure Limited, a gaming and technology company .
NeoGames will be acquired for $29.50 per share in an all-cash transaction, representing an enterprise value of approximately $1.2 billion for NeoGames.
The price represents a premium of approximately 130% to NeoGames’ May 12, 2023, closing price.
Under the terms of the Agreement, NeoGames will transfer its statutory seat, registered office and seat of central administration from Luxembourg to the Cayman Islands, with a wholly owned subsidiary of Aristocrat merging into NeoGames.
“After careful consideration, the Board determined that Aristocrat’s proposal provides shareholders with compelling value, further validating the strength of the business that NeoGames has built,” said CEO Moti Malul.
The transaction is expected to be completed within 12 months.
NeoGames shareholders, who hold a total of approximately 20.38 million shares, representing 61% of NeoGames’ outstanding shares, have agreed to vote in favor of the transaction.
Price Action: NGMS shares are trading higher by 120% at $28.25 in premarket on the last check Monday.

Why NeoGames Shares Are Shooting Higher Today