Ladbrokes Coral and GVC are back in "detailed" takeover talks

Share
Ladbrokes Coral and GVC are back in

It is expected that the proposed offer would include a mix and match facility whereby Ladbrokes Coral shareholders may elect to receive more cash or more shares in GVC, subject to offsetting elections being made by other Ladbrokes Coral investors.

Bookmaker GVC Holdings has offered to buy Ladbrokes Coral for up to 3.9 billion pounds to create a betting giant able to cope with the tougher rules being imposed by the British government.

Shares in the 230-year-old Ladbrokes jumped 26 percent in early trading, while GVC shares rose 6 percent on confirmation of the long-rumoured offer, which is in cash and shares.

The determination of the senior management positions are to be finalised over the coming weeks, but both parties have agreed that GVC's Kenneth Alexander will be the CEO of the enlarged group following completion.

The talks come after two previous attempts at a deal between the pair, but the latest discussions broke down in the summer over price and ahead of the Government's gambling review.

The final price that GVC is prepared to pay for Ladbrokes depends on the outcome of the review of fixed-odds betting terminals (FOTBs), which could lead to the maximum stake being reduced to just two from 100.

The news follows a wave of consolidation in the sector, which is going through a hard shift from high street betting shops to online gambling.

GVC has until 5pm GMT on January 4 to announce a firm intention to make a formal offer for Ladbrokes Coral, although this deadline could be extended upon request.

The companies added that a merger would enhance the enlarged group's position in a number of regulated online gaming markets, including the UK, Italy and Australia, and would boost GVC's current share of revenues from locally regulated and taxed markets to more than 90%.

"The enlarged group would have strong growth prospects with momentum in its online businesses, potential for material synergies including the use of leading proprietary technology, and the opportunity to select the best of both people and operations", the firms said.

GVC has also bulked up with a takeover of bwin.party, owner of sites such as Party Poker.

Share

Advertisement

Related Posts

Caterpillar, Inc. (NYSE:CAT) Insider Sells 24547 Shares of Stock
Bradley Halverson has seen steady activity on the sell side, and on November 27, 2017, executed an option to sell 2600 shares. The industrial products company reported $1.95 EPS for the quarter, topping analysts' consensus estimates of $1.27 by $0.68.

Shareholder Whale Rock Capital Management LLC Upped Lam Research Corp (LRCX) Stake
Seshasayee Varadarajan has seen steady activity on the sell side, and on November 28, 2017, executed an option to sell 592 shares. Four investment analysts have rated the stock with a hold rating and twenty have assigned a buy rating to the company's stock.

Victory Capital Management Inc. Purchases 52910 Shares of EMCORE Corporation (NASDAQ:EMKR)
According to analysts Emcore Corp (NASDAQ:EMKR)'s minimum EPS for the current quarter is at $0.13 and can go high up to $0.15. The average Wall Street analyst rating for EMCORE Corporation is Strong Buy, according to the average of 4 analyst scores.

Walgreens gets in early on healthy growth in China
Also, it has an estimated price-earnings (P/E) multiple of 11.56 and a trailing 12-month price-earnings (P/E) multiple of 18.58. Walgreens Boots Alliance had 46 analyst reports since August 24, 2015 according to SRatingsIntel. (NasdaqGS: WBA ) is 0.88233.

The Bear Case for Patterson-UTI Energy, Inc. (PTEN)
What Historical Figures Say About Patterson-UTI Energy, Inc. (NASDAQ: PTEN ) was gathering the crowd in the stock market. BLACKROCK INC. raised its stake in Patterson-UTI Energy, Inc. 463,365 were reported by Retirement System Of Alabama.

Investigations into Air New Zealand Dreamliner 'abnormalities'
Air New Zealand said problems with Rolls-Royce engines on its aircraft have forced the carrier to ground some worldwide flights. The firm said some engines on its Boeing 787-9 fleet require maintenance following recent "engine events".

Why JJ Watt Thinks He Doesn't Deserve Sportsperson of The Year
Watt appeared on the Tonight Show with Jimmy Fallon, and expressed his admiration for his friend and fellow award victor . Altuve and the Astros won the 2017 World Series in November when they defeated the Los Angeles Dodgers in seven games.

NiceHash hacked - All Bitcoin stolen
The full extent of the hack is still unclear and the company has not provided any updates since they announced the hack. Clearly, this is a matter of deep concern and we are working hard to rectify the matter in the coming days .

Capitals' Nicklas Backstrom snaps 21-game goal drought against Blackhawks
It didnt help that the Blackhawks are missing injured goaltender Corey Crawford , and backup Anton Forsberg had a rough night. Brett Connolly , middle at right, celebrates his second-period power-play goal with Capitals teammates Wednesday night.

Antero Resources (NYSE:AR) Downgraded by Barclays to Equal Weight
Keefe Bruyette & Woods maintained Walker & Dunlop, Inc. "The rating was downgraded by Stephens on Tuesday, February 23 to ". ValuEngine lowered Antero Resources from a "hold" rating to a "sell" rating in a research report on Friday, September 1st.

© 2015 ExpressNewsline. All Rights reserved.