Hilton Downgraded by Merrill Lynch
Merrill Lynch analyst Andrew Hunter last week downgraded his 2001 forecasts for Hilton Group (HG.L) by 4.5 percent, City Wire reported. The revised forecast follows the recent sale of the company's Pennsylvania racing assets and its purchase of the Sydney-based Capital Centre and hotel. "We are factoring in the prospect of a slower U.S. economy," Hunter said, "and the company's expectations of a higher interest rate."
AGC Negotiates Brokered Private Placement
Applied Gaming Solutions announced the sale of 7 million-plus units as part of a brokered private placement, subject to regulatory approval. Shares would sell for $.20 each. Each unit consists of one common share and common share purchase warrant, which entitles the holder for one year after the private placement's closing to purchase one common share for $.20. Funds raised through the private placement will be used for working capital purposes including continuing operations, as well as expansion of the company's Vietnam activities. An agent's commission of up to 9 percent of gross proceeds raised from the offering will be paid to Bryan Garnier & Co., an U.K. company and member of the London Stock Exchange. Additionally, a previously proposed $200,000 private placement with Oxford Capital Corporation has been cancelled.
Internet Sports Network Shuts Down
Unable to obtain additional funding, Internet Sports Network has been forced to shut down. J. Thomas Murray, the company's president and CEO announced the decision on December 29, 2000. The closing is effective immediately. In its Form 10-Q statement filed for third-quarter ending September 30, 2000, ISN reported that it was in default with three loans, its promissory note and its Series 1 convertible debentures since quarter ended June 30, 2000. At that time the company stated it would cease operations and seek protection under federal bankruptcy laws if unable to obtain equity or financing or generate additional sources of funds by November 30, 2000.
VGAM Profiled by Ddstockpicks
Ddstockpicks, which profiles promising under-valued over-the-counter stocks, now features a profile for Virtual Gaming Enterprises, Inc. (VGAM) on its website. VGAM, under its master gaming licensee from the Commonwealth of Dominica, operates 18
online casinos and has a 20 percent stake in an online sportsbook. The company has recently teamed up with WOW Technologies to cross-market its gaming site
www.thecasinothemepark.com through WOW's proprietary site www.luxcard.com.
In return, VGAM will make a digital certificate for the Luxcard available on
the site for 24 months.
Camelot Cancels IPO
U.K. National Lottery operator Camelot has canceled a planned stock flotation after being warned that it would probably fail, reports The Times. The warning came from investment bank UBS Warburg. Selling shares in the company was considered one way to help the company achieve more of a "people's lottery" image. A spokesman explained, "We looked at it as a genuine way of creating a people's' lottery, where it would be owned by the people. But after much thought we decided it would be impossible, because as the licensing period elapsed, the value of the business would diminish." While Camelot is unlikely to ever go through the IPO process, Camelot is also considering a float of another company, Camelot International Services, which has already won a contract as part of a consortium to operate a South African lottery.