CVC takes stake in Stars Group with close of $4.7 bln SBG deal

European private equity firm CVC Capital Partners said it acquired common shares in The Stars Group Inc (TSX: TSGI, Nasdaq: TSG), a Toronto-based provider of technology product offerings to the gaming and interactive entertainment industries.

The acquisition gives CVC about 12.4 percent of the company’s issued and outstanding shares. It is linked with Stars Group’s buy of U.K. online gaming business Sky Betting and Gaming (SBG), which closed this week. The US$4.7 billion deal was announced in April.

CVC acquired a majority interest in SBG from Sky Plc in 2015.

PRESS RELEASE

CVC Fund V Announces Acquisition of Common Shares of The Stars Group Inc.

TORONTO, July 11, 2018 /CNW/ – On July 10, 2018, CVC European Equity Fund V (“CVC Fund V”) acquired beneficial ownership of, or control or direction over, 26,962,108 common shares of The Stars Group Inc. (“The Stars Group”) in connection with The Stars Group’s acquisition of Cyan Blue Topco Limited and its subsidiaries, carrying on business as Sky Betting & Gaming, from Cyan Blue Jerseyco Limited (“Jerseyco”) and certain other vendors (the “Acquisition”).

Pursuant to the terms of the acquisition agreement, 26,962,108 common shares of The Stars Group were issued to Jerseyco (the holding vehicle for CVC Fund V), which represent approximately 12.4% of the issued and outstanding common shares of The Stars Group. Prior to the Acquisition, CVC Fund V did not have beneficial ownership of, or control or direction over, any common shares of The Stars Group.

CVC Fund V acquired the common shares in connection with the Acquisition. CVC Fund V may, depending on market and other conditions, change its beneficial ownership of (or control or direction over) securities of The Stars Group.

CVC European Equity V Limited will be filing an early warning report under the SEDAR profile of The Stars Group at www.sedar.com. A copy may also be obtained by contacting Carsten Huwendiek, +44 (0)20 7420 4240. The head office of The Stars Group is located at Royal Bank Plaza, South Tower, Suite No. 3205, 200 Bay Street, Toronto, Ontario M5J 2J5.

For further information: CVC European Equity V Limited, 1 Waverley Place, Union Street, St. Helier, Jersey, JE1 1SG