Plus500’s second largest shareholder Odey Asset management said that it would vote against Playtech’s proposed £460m acquisition bid.

London-based hedge fund Odey Asset management, which has increase its stake in Plus500 from 13% to 25% over the past three weeks, said that the proposed 400p per share is an “opportunistic bid exploiting current regulatory issues and risks.

“In our view 400p materially undervalues Plus500 and we do not intend to vote in favour of the cash acquisition of Plus500 at this price,” said the Odey Asset management in a statement. “Even considering the current regulatory issues and near term risks, we believe the intrinsic value of the business on a longer term view is materially higher than 400p.”

“We understand that this cash acquisition may make sense for Plus500′s management and staff, whom we expect could be further incentivized by Playtech after the acquisition has completed. However, for independent shareholders we believe the current offer represents too great a discount compared to intrinsic valuation as a standalone entity,” added Odey Asset.