Kaplan's Stake
BETonSPORTS founder Gary Kaplan, who remains on the run after being named in an indictment along with former BoS CEO David Carruthers and nine others charged with racketeering, conspiracy and fraud, reportedly retains a 14.4 percent stake, worth £8 million (US $15 million), in the company, despite cashing out £28 million (US$52.5 million) when the company floated and a further £29 million (US $ 54.3 million) last summer. Kaplan's sister, Lori Beth Kaplan Multz, and brother, Neil Scott Kaplan, also named in the indictment, were arraigned in St. Louis on Monday.
Floating
U.K. mobile gaming company Probability Games Corporation said Thursday that it seeks to raise £4.1 million through an Aug. 10, 2006 admission of its ordinary shares on the Alternative Investment Market. The company uses its own gambling licenses, proprietary technology and FSA-registered payment solution to offer a suite of casino, bingo and lottery games for the mobile sector. Evolution Securities has been appointed as advisor and broker for the listing.
Not Floating
Continent 8 Technologies (formerly Mohawk Internet Technologies), a company that provides Internet infrastructure to online gaming sites, announced today that it is postponing its planned IPO because of concerns that its stock would not achieve its price goal. Continent 8 and its broker, Collins Steward, said Monday in a joint statement, ". . . In view of the market's reaction to the issues facing BetonSports, it is in the company's interest to postpone its admission to AIM until the autumn, by which time Continent 8 will have further demonstrated its strengths and progress via interim results." Most of Continent 8's operations are handled in the Mohawk territory of Kahnawake in Canada.
Sportingbet Q4 in Line with Expectations
Online sports betting company Sportingbet PLC will announce its year-end results on Oct. 17 when new chief executive Andrew McIver takes the helm, but in the meantime it has assured investors that trading remains on track in its final quarter. The company said underlying profits should be no less than £103 million for operating profit before goodwill amortization and share option charges for the year ending July 31 after the business performed in line with expectations in the final quarter.
Privatization an Option for Easybets
BetonSports' ordeal has brought the future of the company's Asian sports book, Easybets, into question, but Easybets chief executive Tim Lambe says the subsidiary will be just fine. Lambe told eGaming Review this week that he would be happy to take Easybets back into private ownership should BoS cease to operate its U.S.-focused Web site and de-list from the London Stock Exchange. Lambe said Easybets will continue to operate, focusing on its core Asian markets. He added that he had not yet spoken to the BoS board and that it all depended on how the group would restructure following events in the past two weeks. He expects to meet with the board very shortly. Lambe, who owned Easybets prior to its sale to BoS in May 2005, said he had four years to run in the earn-outs agreed with BoS at the time of the acquisition, although he was not hopeful they would be reached.
888 Trading Update
Online gaming company 888 Holdings PLC has released a trading update for the second quarter of 2006 along with cumulative results for the six months ended June 30. Highlights include total net gaming revenue in Q2 2006 of US$80 million, an increase of 23 percent from Q2 2005. Net gaming revenue from casino games in Q2 2006 was US$45 million, an increase of 9 percent from the same period in 2005. Net gaming revenue from poker in Q2 2006 saw an increase of 48 percent over Q2 2005 to US$35 million. Total net gaming revenues for the six months ending June 30 rose to US$164 million, an increase of 32 percent above H1 2005. Net gaming revenue from casino games during H1 2006 rose to US$90 million, an increase of 12 percent from H1 2005, while net gaming revenue from poker during H1 2006 increased 69 percent over H1 2005 to US$74 million.
WC Boost for William Hill
Bookmaker William Hill revealed that it earned £17.5 million (US$32.6 million) from punters betting on the World Cup. The company said it benefited from the latter part of the tournament when Brazil and Argentina were knocked out along with England and from a high proportion of matches ending in shootouts. The World Cup takings helped William Hill increase overall winnings by 25 percent to £478.3 million (US$891.7 million) in the six months to June 27 while pre-tax profits lifted 23 percent to £133.5 million (US$248,9 million), the company said. The company said its customers collectively wagered an average of £350 per second on the World Cup, more than £20,000 per minute, almost £1.5 million per hour and over £30 million per day on betting propositions ranging from the winner of the tournament to England captain David Beckham's haircut.