Sporting Index Sold Again
London-based sports spread-betting firm Sporting Index was sold last week by its private equity owner, Duke Street Capital, to another private equity firm, HgCapital, for £75.8 million. HgCapital says it will expand Sporting Index "both organically and by acquisition, to build a broader-based betting and gaming group." The company took over 3 million bets last year and claims to have a grasp on 70 percent of the domestic sports spread betting market. Sporting Index was founded in 1992 and was acquired by Duke Street Capital in December of 2002 when it backed a £53 million management buyout led by then CEO Richard Glynn.
World Gaming Suspends Trading Pending Acquisition of Largest Licensee
I-gaming software provider World Gaming Plc (WGP.L) has entered into a conditional agreement to purchase its largest licensee, the Sportsbetting.com Group. The deal is conditional upon World Gaming securing the required debt and equity financing as well as obtaining the consent of World Gaming's shareholders at the company's next annual general meeting, which is likely to occur in late November. Because the rules of the Alternative Investment Market consider the transaction a reverse takeover, World Gaming has necessarily requested that its shares by suspended from trading on the AIM until after the annual general meeting has resolved certain issues. Besides its flagship brand, Sportsbetting.com, the Sportsbetting.com Group has Racebook.com and Win4Real.com.
Big Gains for Sazka
Czech lottery company Sazka raised its net profit for the third quarter by more than US$4 million above last year's mark to reach $52 million. Revenues improved by $18 million to reach $271 million.
I-Lottery Group Eyes Aim Float
Lottery Network Services Limited, which trades as Lottery Network Services Limited, has contracted Zimmerman Adams International to serve as it broker to a proposed listing and share offering on the Alternative Investment Market of the London Stock Exchange. The company intends to provide white-label interactive lottery products such as scratch cards, keno and bingo to charities and mid-sized state lottery programs. The company would create games for a variety of platforms and introduce new games on a regular basis in order to stimulate customer activity and loyalty.
Reports Released
Swedish I-gaming software provider Boss Media AB (BOSS.ST) has reported US$3.9 million in net profit for the first three quarters of 2005. The figure is less than the $5.5 million obtained during the same period of 2004, due largely to the increased costs associated with operating and monitoring its online poker network and also to an increased number of consultants. During the third quarter of 2005, the Boss poker network experienced a 25 percent growth in the number of players, compared to the average 4 percent growth experienced by poker networks around the world. Over the nine-month period, Boss's net sales rose to $21 million from $19.7 million and royalty revenues rose to $16.9 million from $10.8 million. The company expects growth at a similar pace for the rest of the year.
Boss Media AB - Quarterly Report
Online gambling operator Betcorp Ltd (BCL.AX), which is considering a float on the AIM, has reported figures for the third quarter of 2005 that are significantly better than those reported over the same period last year when the company experienced major sports book difficulties that culminated in the resignation of four of its directors. Profits for the first three quarters totaled US$2.5 million compared to a loss of $10 million during the same period last year, while profit for the third quarter alone totaled $624,000 compared to a loss of $8.5 million last year. Gross revenues for the three quarters improved by 36 percent to $26.2 million.
Betcorp Ltd - Quarterly Report