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Amaya founder sells off shares after takeover ban

Written by Ben Blaschke

Just a few days after online gaming giant Amaya implemented a new financing deal making it almost impossible for David Baazov to launch another takeover bid, the company’s founder and former CEO has sold off a large chunk of his shares.

Baazov announced that he has sold off seven million shares – equal to around a third of his stake – for US$99 million. That figure also represents about 4.8 percent of Amaya’s common shares, leaving Baazov with a 12.1 percent stake.

Earlier this week, Amaya – which owns online poker sites PokerStars and Full Tilt – issued a press release on its new financing deal which includes the following stipulation.

“At the request of certain lenders, the amendment also modifies the change of control provision to remove the ability of a certain current shareholder (Baazov) to directly or indirectly acquire control of Amaya without triggering an event of default and potential acceleration of the repayment of the debt under the credit agreement for the first lien term loans.”

Amaya’s share price rose 5.6 percent on the Toronto Stock Exchange following news of Baazov’s sell-off.