Allwyn and Novibet Call Off Merger Over Competition Concerns
Allwyn Cancels Acquisition of Novibet’s Parent Company
Allwyn International, a leading name in gaming entertainment, has chosen to terminate its plan to acquire Logflex MT Holding Limited, the parent company of Novibet. This move comes after receiving concerns from Greece’s competition authority about the impact of the deal on market competition.
Background of the Acquisition Attempt
Earlier in 2024, Allwyn disclosed intentions to buy a majority stake of 51% in Logflex MT Holding Limited. The company intended to pay a base price of EUR 217 million, with the possibility of additional payments reaching EUR 110 million depending on Logflex’s future business performance.
The acquisition was seen as a way for Allwyn to enhance its technological infrastructure and access Novibet’s extensive technology centers located in Greece, Brazil, and Malta. The transaction was initially expected to be finalized in the latter half of 2025, pending all necessary legal and regulatory approvals.
Intervention by the Greek Competition Authority
However, the proposed acquisition did not proceed as expected. Both Allwyn and Logflex have agreed to withdraw the transaction following feedback from the Hellenic Competition Commission (HCC), which expressed concerns about reduced market competition.
The HCC pointed out that Novibet has been one of the few competitors capable of challenging the dominance held by Allwyn and OPAP in the market. Despite Allwyn’s attempts to resolve these concerns, the regulatory body recommended blocking the deal to maintain fair competition.
Next Steps and Market Implications
Allwyn has stated its commitment to only pursue deals that provide clear value to its shareholders. Consequently, the two companies do not anticipate moving forward with this acquisition.
Meanwhile, investors have shown strong confidence in a separate proposed merger between Allwyn and OPAP, indicating continued interest in strategic growth opportunities within the industry.
