Lotto 24 AG, the Hamburg-based online provider of state licensed lotteries, has unveiled plans to withdraw from the Frankfurt Stock Exchange. The company was floated onto the stock exchange in 2012 but is now planning for life after delisting after agreeing a price with ZEAL Network SE.
Zeal Network SE, the German parent company of a group of e-commerce lottery businesses, has offered to pay the average share price of Lotto 24 AG over the last six months, as per German legislation. Recent calculations from Zeal Network SE estimate that the price will be EUR 381.79 per share.
Despite the provisional agreement between the two parties, the transaction is not complete due to it being dependent on the valuation of the German Federal Financial Supervisory Authority, which “may deviate from the estimated amount”.
Whilst this process is still ongoing, Lotto 24 AG has submitted an application to the Frankfurt Stock Exchange which would revoke the right for the public to purchase shares in the company.
Lotto 24 AG stated that “the shares of the company will no longer be listed for trading or be traded on a regulated market of a stock exchange in Germany or in an equivalent international market”.
Immediately after the Frankfurt Stock Exchange announces its decision, Lotto 24 AG is set to publicly announce the revocation of shares, three days after which, it will no longer be subject to the regulations of the stock exchange.