888 close to deal after strong trading

3 August 2009

LONDON, England -- As reported by Reuters: "Online gaming firm 888 said on Monday it is close to making an acquisition after strong trading from its casino, bingo and sports betting web sites led to an improved overall performance in the second quarter.

"Chief Executive Gigi Levy told Reuters that 888 is in talks with a number of targets and expects a deal to be completed soon.

"'One of them is very close to closing. It's a bolt-on but would help us in our business-to-business strategy. A few others are at an earlier stage," Levy said in a telephone interview.

"Levy said he is confident the company could raise at least one times EBITDA to fund acquisitions. The consensus forecast for full-year EBITDA currently stands at $52.5 million, according to a Reuters Estimates poll of six analysts.

"888 also holds cash of $110 million and has no debt..."