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Online gambling software developer Orbis Buys

5/10/10 - Online gambling software developer Orbis has announced that it is to buy Alphameric Solutions, a UK company which provides display and till systems to the retail gambling market, for GBP15.5 million.
 
The merger will allow Orbis to combine retail and online gambling systems at bookmakers.
 
"With our expertise in online betting technology we are confident this acquisition will drive the retail betting sector in a new and exciting direction," said Orbis' chief executive, David Loveday.
 
Orbis’s plans for Alphameric include moving the firm’s listing from the LSE’s Official List to the more junior AIM market, conditional upon the approval of Alphameric shareholders. Such change will include a new branding as Timeweave plc and an amended year-end to 31 December
 
Key points in the agreement of sale include:
 
* Cash consideration of GBP15.475 million subject to adjustment to take account of ASL's net asset and net debt position at completion
 
* Alphameric is focused on the provision of end-to-end technology to high street bookmakers, predominantly in the UK and the Republic of Ireland. Customers include William Hill, Ladbrokes, Coral and Tote and many independent bookmakers.
 
* Orbis Holdings, is a wholly-owned subsidiary of NDS Group, and provides integrated gaming and betting solutions to customers including William Hill, Ladbrokes, Betfair, BlueSquare, Paddy Power, SkyBet, Centrebet and Slot Macau
 
* GBP 2 million is to be retained from the purchase price and placed into an escrow account to be utilised against any claims made by Orbis Holdings within 18 months from the date of completion of the deal.
 
* Net cash proceeds (inclusive of the GBP 2 million escrow amount) will be approximately GBP14.5 million
 
* Alphameric has obtained irrevocable undertakings and letters of intent to vote in favour of the resolutions in respect of 127 210 536 Ordinary Shares in aggregate, representing approximately 56.4 percent of the existing issued share capital of the company.
 
Peter Bertram, chairman of Alphameric, said that the board of directors believes the disposal of Alphameric Solutions is in the best interests of the group and its shareholders.
 
“We wish the management, staff and new owners of the business every success in the future,” he said.



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