The Press Association (PA), which operates the UK news agency of the same name, announced on Monday that it has reached an agreement to purchase RAS Technology Holdings. This company is publicly traded on the ASX and is the parent of Racing and Sports, a supplier of racing data and wagering technology.
Emily Shelley, the CEO of PA, emphasized that this acquisition would provide customers with an expanded range of data, enhanced wagering expertise, and broader market coverage. She remarked, "The PA and Racing and Sports share a commitment to trust and integrity. The businesses' complementary strengths and global reach will offer customers more of what they value."
The purchase will be an all-cash transaction valued at approximately AU$49.8 million, or around £26 million. The PA's offer stands at AU$1.04 per share, which reflects a substantial 93% premium over RAS's closing price of AU$0.54 as of October 16. Furthermore, according to Grafa, this price also represents an 80% premium compared to the stock's average price over the prior 90 days, which was AU$0.576.
Following the announcement, shares of RAS surged approximately 85%, reaching AU$1.00. However, the offer still falls short of the AU$1.50 per share price at which RAS went public on the ASX in November 2021.
The acquisition will proceed via a scheme of arrangement under a binding Scheme Implementation Deed, with PA looking to acquire 100% of RAS’s issued shares. Completion of the deal is targeted for February 2027, contingent upon a shareholder vote and approval from Australia’s Federal Court.
The RAS board has expressed unanimous support for the transaction, contingent upon the absence of a superior proposal and following the independent expert's assessments. Co-founders Gary Crispe and Robert Vilkaitis, who collectively hold approximately 34% of RAS shares, have indicated their intention to vote in favor. The deed reportedly features exclusivity provisions and a matching right for the buyer, along with a break fee of approximately AU$0.5 million payable by RAS under certain conditions.
RAS shareholders will receive a scheme booklet, which will include the independent expert’s report, in early December. This rollout anticipates a court-convened meeting for shareholders scheduled for late January.
Upon finalization of this deal, Racing and Sports will operate alongside Podium, PA’s racing and sports betting data division. The PA indicated that combining Podium’s sports API with RAS’s trading services and Wagering 360 platform will provide bookmakers, media agencies, and rightsholders with a more comprehensive suite of products. It will also mark a significant expansion of PA’s footprint into the Australian wagering market.
Shelley highlighted that the union of these entities will facilitate the more rapid development of new products and bolster the long-term growth of the racing industry. Podium's managing director, Josh Sparke, expressed enthusiasm over the natural synergy between the two businesses, while Stephen Crispe, CEO of Racing and Sports, referred to the deal as “an important step.” He reiterated, “The PA deeply shares our commitment to integrity, quality, and the importance of accurate, trusted live data that is needed to power the global racing industry.”
Until the deal is finalized, both the PA and RAS will continue to function independently. Further comments from either organization have yet to be reported.
