Hilton Sells Convertible Bonds
Hilton Group plc (HG.L) sold a £300 million convertible bond issue Sept. 2. The bonds will be convertible into about 115 million shares, which is about 8 percent of the group's equity. Hilton fixed the seven-year bond to carry a coupon of 3.375 percent per annum, and the conversion price was set at 260p per ordinary share. The maturity date will be around Oct. 2, 2010.
GTECH Webcast
GTECH Corp. (GTK) will provide a webcast of its fiscal year 2004 second-quarter earnings conference call on Sept. 12, 2003, at 8:30 a.m. (Eastern Daylight Time) with president and CEO W. Bruce Turner and senior vice president and CFO Jaymin B. Patel. (www.gtech.com)
Paddy Announces Interim; Officers Sell
Released last week, Paddy Powers plc's (PAP.L) interim report for the six months ended June 30 showed a 22 percent drop in pretax profits to EU7.2 million. Paddy Power has blamed the results on a few adverse horseracing results. Turnover for the interim rose 42 percent to EU453 million.
Also last week Paddy Power CEO John Corcoran sold 2.5 million shares at EU6.06 per share, earning him EU15.15 million, while former chairman Stewart Kenny sold EU1.2 million shares, earning him EU7.27 million. HgCapital also sold 1.5 million shares for EU9.1 million.
Jupiter/Tabcorp Merger to Benefit All
The Australian reports that a 456-page merger scheme document released on Sept. 5 shows the merger between Jupiters Ltd. (JUP.AX) and Tabcorp Holdings Ltd. (TAH.AX) should save AU$10.2 million (US6.6 million) a year.
Jupiters' ordinary preference shareholders will vote on the merger Oct. 24, and if the motion passes the new entity will be effective Nov. 13.
Though Jupiter must sell its Centrebet online sports betting division as part of the agreement, independent expert accountant PWC has warned that Jupiters might not get the $60 million to $70 million it has been negotiating to receive. If Jupiters fails to sell Centrebet by Oct. 31, it may receive no value at all for the company.
Reports Released
For the six month period ending June 30, Rank Group plc's (RNK) pretax profit fell 9 percent to £77.4m, due to performances by the Hard Rock and Deluxe divisions of the company. Pretax profits for the gambling operations, however, rose 14% to finish at £55.7m.
Merill Lynch published an evaluation of Rank and has retained its neutral stance on the company.
Rank has since said that it plans to open five bingo and casino sites over the next 18 months in preparation for gaming deregulation.
Rank Group plc - Interim Report
Rank Group plc - Merrill Lynch's Interim Report
William Hill (WHM) on Monday announced interim results for the six months ended July 1. Among its highlights are a 72 percent rise in turnover to £2,741.7 million and an 18 percent rise in gross win to £324 million. Profit on ordinary activities before finance charges and exceptional items also rose 27 percent to £101.9 million, and net indebtedness has fallen by £51.2 million to finish at £430.2 million.
Despite the success of the interim for the company, Merrill Lych's report retains the recommendation that investors sell their shares.
William Hill - Interim Report
William Hill - Merill Lynch's Interim Report