Speculation Over a VIP Management Services Float
Rumors are circulating that Curacao-based online gambling company VIP Management Services may be considering a float on the Alternative Investment Market of the London Stock Exchange. eGaming Review speculates that the company might try a reverse takeover of Leisure & Gaming, a shell company that listed on the AIM in September 2004 with an aim to acquire an online gambling company. Leisure & Gaming is headed by CEO Benjamin Shaw, who in the late 1990s was instrumental in Betcorp's acquisition of BetWWTS.
Greek Government to Sell Stake in OPAP
The Greek government announced last week that it plans to sell as much as a 17 percent stake in state lottery monopoly OPAP. Considering the company's current share price, a 17 percent stake could sell for as much as $1.5 billion. The government owns 51 percent of OPAP but needs money to reduce its budget deficit. Even after the sale of a 17 percent stake, the government would retain a 34 percent shareholding of OPAP and would continue to appoint the majority of its board members.
CVC Group Confirms its Intent to Float IG Group
U.K.-based CVC Group has confirmed that it will definitely float its spread betting firm, IG Group, on the London Stock Exchange next month. The company appointed investment bank UBS and Lexicon Partners two weeks ago to carry out a strategic review of the business and serve as advisors for the float. CVC took IG Group off the public market two years ago by purchasing it for £143 million, but it's now seeking to earn £375 million through a public offering. IG Group reported a 28 percent increase in turnover to £29.5 million and a 40 percent rise in underlying profits to £16.1 million for the six-month period ended November 2004.
New Entry to the I-Gaming Space?
Reports indicate that Global Gaming Technologies Plc (GGT.L), a cash shell company that is quoted on the Alternative Investment Market, is preparing to execute a reverse takeover of Event Data Correlation, a company that develops software that detects and analyzes price discrepancies in online betting markets for use in trading decisions.
Reports Released
Sportech Plc (SPO.L), operator of the Littlewoods brand of gambling services, has reported its financial figures for the year 2004. Among the group's highlights are a 50 percent increase in turnover to a record £497 million attributed to significant growth in betting products, particularly online poker and casino games. Sportech achieved an operating profit of £6.3 million, compared £9.5 million last year (the loss this year is due primarily to a failed £3.2 million football pools marketing campaign). The company appears to be in good position for continued growth in 2005, especially after recently launching an advanced Java-based mobile betting service using technology from mobile gaming solutions provider Mfuse.