Betfair Denies Float Plans
British betting exchange Betfair has denied that it is once again planning to float on the London Stock Exchange after rumors circulated in British media publications that the company was preparing to list by September 2006. "It's complete nonsense and news to me," said communications director Mark Davies. "I've no idea where this came from. It's just not on the agenda."
Throughout much of 2005 the company had planned a float for the first quarter of 2006, but those plans were abandoned in October, prompting then CEO Stephen Hill to resign in disagreement over the decision. Two weeks ago Betfair appointed its chief operating officer David Yu to take over as CEO.
PBL Reaps First Benefits of Joint Venture with Betfair
Australian media conglomerate Publishing and Broadcasting Ltd (PBL.AX), saw its shares improve 17c to a 12-month high of $17.18 after its joint venture partner Betfair was awarded a license to operate gambling operations in the state of Tasmania last Monday. PBL is expected to invest approximately AU$30m in the venture.
World Gaming Gets Better Deal on Recent Acquisition
World Gaming Plc (AGP.L) has issued a trading update in regards to its performance during the 12 months of 2005. The company anticipates that EBITDA for the year should total US$6.5 million.
Results from the newly acquired Sportsbetting.com Group acquisition also factor into the final three months of the World Gaming's financial year. Like most other North American-facing sportsbooks, Sportsbetting.com experienced a poorer than normal fourth quarter due to many favored teams winning NFL games, which consequently played a factor in driving Sportsbetting.com's yearly profit before tax down to $13.8 million. A stipulation in the acquisition deal stated that if Sportsbetting.com's profit fell below $15 million then the total purchase price would fall below the maximum consideration $96 million. Sportsbetting.com's price tag has been reduced to about $82.8 million as a result of the performance, and World Gaming's earnings per share will rise by about 3 percent.
Great Progress for 32Red
I-gaming operator 32Red Plc (TTR.L), which floated on the Alternative Investment Market of the London Stock Exchange at the end of September 2005, has provided key financial achievements and performance indicators in a trading update for the year 2005. Among the group's key financial achievements are a 67 percent increase in total gaming revenues over the previous year to £9.77 million, a 57 percent increase in casino revenues to £8.94 million and a 339 percent increase in poker revenues to £830,000. Total active players grew by 102 percent to 17,587 over the course of the year, with active casino players up 54 percent to 10,605 and active poker players up 277 percent to 6,982. 32Red's full year report is scheduled for release on March 15th.
More Consolidation in the Lotteries Sector
Scientific Games Corporation SGMS), which supplies instant tickets, systems and services to lottery companies, has signed an agreement to acquire a significant piece of the online lottery assets of the Swedish online lottery systems firm EssNet AB for 460 MSEK (US$60 million). The acquisition includes substantially all of EssNet's existing online lottery contracts, as well as all technological and intellectual property pertaining to its online lottery business, subject to certain closing conditions including regulatory and customer approvals, purchase price adjustments, and other specified conditions. Scientific Games will finance the purchase under its existing $250 million revolving credit facility.
Global Approach Involved in Acquisition Negotiations
With Global Approach Limited (GLO.ASX)'s ten-cent share options falling due on January 31st, the company's directors feel it is in the best interest of shareholders and option-holders to be informed that the directors have been in negotiations for the last two months to acquire a publicly-unlisted company with international Internet gaming assets with a strong focus on Internet poker and several owned online casino operations. No agreement has been reached yet however, and the company is not able to clarify the likelihood of reaching a positive decision until negotiations are further advanced. A progress update is expected in early March. Global Approach is the owner and operator of musichallcasino.com, musichallcasino.co.uk, ukcasinoclub.com, ukcasinoclub.co.uk and beachclubpoker.com.
Reporting
Online gaming software provider Chimera Technology Corp. (CNOC.PK), which is in the process of registering to become a fully reporting issuer on the Over the Counter Bulletin Board, has released financial data for the year 2005, reporting US$553,000 in Gross Profit. "Financial results indicate that we are no longer to be considered as a development stage company, and in 2006 we look forward to the transition into a fully operational corporation," stated Chimera President Ken Chua. "Our business model of charging an initial set up fee, with subsequent profit sharing arrangement with each of the licensees on their net revenue, will undoubtedly boost Chimera's revenue streams in the upcoming period as more licensees commence operations in 2006."
Chimera Technology Corp. - Annual Report