Sportech has today entered into exclusivity with Burlywood Capital LLP regarding the proposed sale of The Football Pools for a total cash consideration of £97.25m on a debt free/cash free basis. Burlywood's management team proposes to apply for admission to trading on AIM of a new company incorporated for the purposes of acquiring The Football Pools, and to finance the acquisition of the business through a combination of equity from institutional investors and a new debt facility, for which a credit committee approved term sheet for up to £30 million has been received. The Proposed Disposal is subject to, amongst other things, the necessary equity being raised, final agreement of the sale and debt documentation and, in view of its size, the approval of Sportech shareholders. The Board of Sportech believes that the Proposed Disposal represents an attractive opportunity to realise the value of The Football Pools following the implementation of its modernisation programme and as it continues to transition its business model. The proposed directors of the AIM quoted company which would acquire The Football Pools business are Ian Hogg (Chairman), Conleth Byrne (Chief Executive and current Managing Director of The Football Pools), Carl Lynn (Chief Financial Officer and current Finance Director of The Football Pools), Brian Mattingley (Non-Executive Director) and Liz Catchpole (Non-Executive Director).
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