Effects of Pulled Magna Signals
Although it did not have access to signals from Magna Entertainment Corp's (MECA) racetracks, account wagering company America Tab experienced a 45.8 percent surge in business in January and a 28.4 percent surge in February. In those two months, the company signed up 1,000 new user accounts. Magna apparently pulled the signals from America Tab and other account wagering companies to drive more business to its XpressBet account betting service. The move angered punters, who then boycotted Magna, leaving XpressBet with handle that was down 18.4 percent during the first two months of the year.
Chimera's Financing
Chimera Technology Corp (CNOC.PK) last week secured a private placement equity financing of $1 million subject to the completion of the regulatory filing. On Feb. 9, the company announced equity financing of $500,000 in private placement on Feb. 9 and on Jan. 13 announced financing of $250,000. With the latest financing, the company brings its total financing up to $1.75 million for the year.
NETeller to Float
Market analysts speculate that Neteller's flotation on the AIM could raise about £50 million. The Isle of Man-based transaction processor might try to float by the end of the month and might be worth around £200 million, which would make it among the AIM's top 10 companies. In its latest financial year, which ended in August 2003, the company's net income rose from £700,000 to £7.5 million. Neteller has dealings with William Hill, Ladbrokes, betandwin.com, Poker Stars and Casino on Net.
Betfair Plans
Betfair will attribute most of the £20 million it plans to raise from a repositioning toward direct and online communications. The company wants to emphasize to the public that it allows betting on almost anything. Betfair also plans to increase its sponsorship deals. Just this week at the Cheltenham festival, the company unveiled a new logo and slogan: Sharp Minds Betfair. The Observer reported that the float now seemed unlikely because the government is reviewing ways to more tightly regulate betting exchanges, including levying new taxes, but Andrew Silverman, Betfair's director of public affairs, said, "The modernization of gaming laws is something that we support and we have not mooted any such plans to float."