Playtech in talks to sell financial trading unit

The gaming operator has confirmed it is in exclusive discussions to sell its financial unit, Finalto, for $200m.

UK.- The FTSE250 gaming operator Playtech has confirmed it is in talks with an Israeli investment consortium with an eye to selling its financial trading unit, Finalto.

It is in discussions with a group backed by several high-profile Israeli investors, including Barinboim Group, Leumi Partners and the insurance giants Phoenix Insurance Company and Menora Mivatchim Insurance.

The group has made a cash offer of up to $200m for Finalto, which was formerly named TradeTech Group; $170m of that would be paid on completion. 

Finalto offers B2B and B2C trading solutions, including Markets.com, a portal that offers contracts for difference (CFDs) and foreign exchange trading.

Playtech streamlines operations

The future of the financial division has been in question since Playtech announced it would consider a sale back in November 2019 in order to refocus on its core gaming products.

It has already sold all of its casual and social gaming assets following a $10m deal to sell YoYo Games to the Norwegian software business Opera in January. 

Finalto’s performance improved in the first half of last year on the back of the increased market volatility and trading volumes brought by the Covid-19 pandemic. Performance weakened once markets stabilised in the second half.

In December, Playtech said that it was considering relocating from the Isle of Man to the UK mainland.