Canadian gaming company The Stars Group said over the weekend that it had agreed to buy Sky Betting and Gaming from owners CVC Capital Partners and Sky in a deal worth $4.7 billion. 

It had been expected that private equity firm CVC, 80% owner of the online betting site Sky Bet, would list the company publicly. 

In February, Reuters reported that CVC had picked investment banks to lead an initial public offering. 

But on Saturday The Stars Group announced a deal that it said would create the world's largest publicly-listed online gaming firm. 

"The acquisition of Sky Betting and Gaming is a landmark moment in The Stars Group's history," its chief executive officer Rafi Ashkenazi said. 

The deal comprises $3.6 billion in cash and the rest in newly-issued shares, the Toronto-based group said. 

UK media company Sky said it would receive around £425m in cash, as well as shares worth around £145m, in exchange for its 20% stake in Sky Bet.