NEWS / THE BRIEFING /
NEWS DIGEST
THIS MONTH’S TOP STORIES, INCLUDING BWIN.PARTY ADMITTING TO POTENTIAL
SALE TALKS, A NEW MULTI-MILLION POUND EU VAT TO HIT THE INDUSTRY AND MORE
OPERATIONAL MOVEMENT IN GIBRALTAR
BWIN.PARTY ADMITS
TO SALE TALKS
Bwin.party confirmed speculation
it is in preliminary talks over
the sale of all or part of the
business and said discussions
were taking place with “a number
of interested parties”.
The company released a
statement to the market stating
that a “variety of potential
business combinations” were
being discussed, however added
that there is no certainty that a
deal will be struck.
Speculation over the future
of bwin.party has been building
over the past few months with
a sale or floatation of its B2B
payments arm and the sale of
its grey market business two
possibilities mooted.
SKY’S THE LIMIT
The power structure of the
egaming sector will look a little
different in 2015, with news
that Sky is to sell an 80% stake
in Sky Betting and Gaming to
private equity and investment
firm CVC Capital Partners for
a total of £720m. CVC will pay
£600m in cash on completion in
a deal that values Sky Bet at a
total of £800m. The operator’s
management team, including
managing director Richard Flint,
will remain in place and Sky will
retain a 20% stake. Another
big deal shaping up is Intertain
looking to acquire a major part of
the Gamesys Group. According to
sources, the Toronto-based firm is
hopeful of securing a deal which, if
successful, would eclipse its earlier
acquisitions of Mandalay Media
and Vera&John.
ON THE ROCK
Gala Coral has announced a
major restructuring of its online
14
business after deciding to merge
the management teams of its Gala
Interactive and Coral Interactive
Gibraltar-based businesses.
The move will see Coral
Interactive managing director
John O’Reilly stand down from
his role with Gala Coral Group
chief operating officer Andy
Hornby set to take charge of the
combined division alongside his
responsibility for Coral’s retail
estate.
According to Gala Coral, the
changes mark a “new phase of
development for the business”
with the combined interactive
division to work more closely
with retail in order to perfect its
multi-channel offer.
Elsewhere on the Rock, Betclic
Everest Group took the decision
last month to close its Gibraltar
office and transfer operations
to its Malta base in an effort
to centralise its operations in
what the operator described
as an “ever competitive” online
gambling market.
A SPORTING CHANCE
The big changes continue at
PokerStars after the poker giant
confirmed plans to launch a
branded sportsbook in 2015 to
complement a global roll-out of
casino games.
The announcement followed
Amaya Gaming CEO David
Baazov telling investors plans for
a sportsbook remained “on track”
for a H1 2015 launch with the firm
intending to use some third-party
services but develop the “key
differentiating factors” in-house.
Amaya revealed total
revenues for the three months
ended 30 September were
CA$239m, up from $39m in
Q3 2013. Adjusted EBITDA was
$108.4m for the quarter.
E CITY
IN TH
BETFAIRHIGH = 1490p x
(BET.L)
2014 X
LOW = 933.5p
Betfair’s share price continued to make
impressive gains, rising to a new three-year
high of 1490p, during a month in which it
revealed a strong trading update and signed a
new deal with Golden Nugget in New Jersey.
BWIN.PARTY (BPTY.L) x LOW = 80.15p
2014 X HIGH = 129.5p
Bwin.party’s share price soared after the
operator confirmed sales talks were currently
ongoing for all or part of the business with
a number of parties. On the day of the
announcement the stock increased its price to
119.10p which was its highest since May.
INTERTAIN (IT.TO) x LOW = CA$3.8
2014 X HIGH = CA$16.7
Canada-based Intertain continued its share
price climb in November with shares climbing
to a record high of nearly CA$17 as rumours
of another acquisition continue to surround
the firm. It has acquired Mandalay Media and
Vera&John since listing in March 2014.
PADDY POWER=(PAP.L) x
2014 X HIGH €63.5
LOW = €47.38
Paddy Power posted a year-high share price
in November of €63.5, its highest since March
2013, after recording strong year-on-year
growth in online revenues which were up 42%
compared to last year.
PLAYTECH (PTECH.L) x
2014 X HIGH = 836.5p
LOW = 579p
The announcement of a €315m new bond
issuance on the same day bwin.party revealed
its own sale talks sparked plenty of takeover
rumours in the city but failed to impress
investors with the supplier’s share price falling
to its lowest since May the same day.
WILLIAMHIGH =(WMH.L) x
HILL 410.2p
2014 X
LOW = 320.3p
Last month shares in William Hill fell to their
lowest price since August – down from 360.5p
at the start of the month to 337.2p despite a
strong performance from online as fears over
a cap on fixed odds betting terminals continue
to cause investor concern.
W W W. E G R M A G A Z I N E . C O M