On Monday, the Press Association (PA), which operates the UK news agency, announced its agreement to acquire RAS Technology Holdings, the Australian Securities Exchange-listed company that owns Racing and Sports, a provider of racing data and wagering technology.
Emily Shelley, CEO of the PA, highlighted that this acquisition would enhance the offerings for customers, providing them with "a wider range of data, deep wagering knowledge and coverage across more markets."
The all-cash deal is valued at approximately AU$49.8 million, equivalent to around £26 million. The Press Association plans to buy shares at AU$1.04 each, which is a striking 93% premium over RAS's closing price of AU$0.54 on 16 October. Additionally, this offer represents an 80% premium when compared to the stock’s 90-day volume-weighted average price of AU$0.576, according to reports from Grafa. Following this announcement, RAS shares surged nearly 85%, reaching AU$1.00, although this price remains below the AU$1.50 per share where RAS initially floated on the ASX in November 2021.
The acquisition will be executed through a scheme of arrangement set under a binding Scheme Implementation Deed, allowing the PA to acquire 100% of RAS's issued shares. The deal's completion is targeted for February 2027, contingent upon shareholder approval and clearance from the Federal Court of Australia.
The RAS board has unanimously recommended the transaction, in the absence of a superior proposal while being subject to an independent expert’s assessment. Co-founders Gary Crispe and Robert Vilkaitis, who collectively control about 34% of RAS, have expressed their intention to vote in favor of the deal. The agreement reportedly contains exclusivity clauses and a matching right for the PA, along with a break fee of approximately AU$0.5 million payable by RAS under certain conditions.
RAS shareholders can expect to receive a scheme booklet, which will include the independent expert’s report, in early December, prior to a court-convened meeting scheduled for late January, as reported by Australian media outlets.
Post-acquisition, Racing and Sports will complement Podium, the PA’s sports betting data branch. The PA indicated that the integration of Podium’s sports API with RAS’s trading services and their Wagering 360 platform would provide bookmakers, media entities, and rights holders with a comprehensive suite of products. This merger is also poised to extend The PA’s reach into the Australian wagering sector.
Shelley noted that the partnership would enable quicker development of new products and bolster the long-term growth of racing. Josh Sparke, managing director of Podium, expressed enthusiasm about the natural synergy between the two businesses. Stephen Crispe, CEO of Racing and Sports, described the acquisition as "an important step," emphasizing that the PA's commitment to integrity and the provision of reliable live data is vital to the global racing industry.
Until the deal concludes, both The PA and RAS will maintain their separate operations. Further comments have been sought from representatives of both organizations.
