Latest Australian Tab Developments
The Australian Competition and Consumer Commission stated on Wednesday that it would not interfere with Tab Ltd. (TAB.AX) in its pursuit to merge with either Victoria's Tabcorp Holdings Ltd (TAH.AX) or Queensland's UNiTAB (UTB.AX). Now that no regulatory bodies can object to either deal, Tab Ltd. is free to choose the better offer. Since Tabcorp's proposal was superior to UNiTAB's, Tab Ltd. broke its legally binding agreement with UNiTAB. Tab Ltd. must consequently pay UNiTAB AU$5 million, but breaking the agreement allowed UNiTAB to come up with a counteroffer. UNiTAB's AU$2 billion bid offers Tab Ltd. shareholders 47 ordinary UNiTAB shares and AU$145 cash for every 100 shares of Tab Ltd., valuing each Tab Ltd. share at AU$4.50. Tabcorp, which is currently offering AU$4.20 per Tab Ltd. share, says it will assess and digest the UNiTAB offer, which has only been formally announced to the market today, and give a considered response in due course." Most Australian analysts expect Tabcorp to answer with a higher bid.
Gobarkingmad Receives Loan
New Media Zero reports that Gaming Insight plc (GIN.L), the company that owns Gobarkingmad, has received a loan of £500,000 from Highland Fund Advisors and Brookspey, a company that is controlled by Gaming Insight's chairman Nigel Robertson. £100,000 of that loan is immediately available and the rest will be accredited next month. This is the second time in six months that Highland Fund Advisors have helped Gaming Insight with funding. The company's shares have been suspended from trading on AIM due to earlier betting revenues that were lower that expected. After it receives the remaining cash from the loan next month, Gaming Insight will publish its financial results and attempt to have its trading suspension lifted. Victor Chandler has resigned as a director of Gaming Insight so that he may focus on other business ventures.
Christchurch Casino Bidding
New Zealand's largest casino operator, Sky City Entertainment Group Ltd. (SKC.NZ), confirmed last week that it was negotiating with British operator Aspinall's to purchase Aspinall's 41 percent stake in Christchurch Casinos, Ltd. The news angered Christchurch Casinos Chairman Barry Thomas, whose Skyline Enterprises also holds a 41 percent stake. Thomas, who founded the casino, would like to purchase Aspinall's share himself, and he has had Aspinall representative and Christchurch Casino chief executive Arthur Pitcher removed from the board. The New Zealand Herald reports Thomas as saying Sky City's interest in the casino is not welcome, and the company would not open its books to bidders for Aspinall's stake who it considered hostile. Meanwhile, millionaire hotelier Earl Hagaman and four other unnamed Christchurch businessmen have placed their bid for Aspinall's share to keep ownership and control in Christchurch.
AngelCiti Boasts Handle
AngelCiti Entertainment (OTC.AGEL) says its subsidiary, Worldwide Management, has surpassed $50 million in net handle for the year. The company also says events in the fourth quarter of the year have significantly improved its operations.
Reports Released
GTECH Holdings Corp.'s (GTK) financial results for the third quarter ended Nov. 22, show a 40 percent increase in profit. Net income totaled $45.9 million, up from last year's mark of $32.8 million, but the results also include a gain of $3.3 million on a consolidation of company headquarters. GTECH's revenue of $254.9 million is slightly less than last year's third quarter revenue of $265.5 million.
GTECH Holdings Corp. - Third Quarter Report