Doubts Over Ladbrokes Acquisition Attempt On Tabcorp (update)
By Casinomeister, Last updated Dec 2, 2016
Analysts look at "what if" situation and conclude it's a big bite to take
Despite the fact that neither Ladbrokes nor Tabcorp have commented on rumours that they are discussing a possible merger, industry analysts have been examining the possibilities of such an industry-changing move, which has the potential to create a GBP 5 billion online and land gambling leviathan.
Experts at Citigroup have concluded that it may be too big a bite for Ladbrokes Coral, which only completed a merger recently to form a group valued at around GBP 2.5 billion (US$ 3 billion).
Speculating that a takeover premium of at least 30 percent would apply, the merger would cost nearly US$3.7 billion, more than Ladbrokes-Coral's market value, they estimate.
They added that the "difficult operating environment in the U.K," was also a factor to be taken into account, noting that gaming companies face increased taxation in a market that is highly competitive.
Online Casino News Courtesy of Infopowa
The man with the plan here at Casinomeister. Bryan Bailey has been running Casinomeister since its launch in June of 1998. He has watched the industry grow from its primeval stage to what it is now. The Meister has attended nearly 100 conferences in the past 20 years and has either been a speaker or a panel moderator for at least 60 events. He has always been an advocate of fairness and reason and is known to like German beer, a good Scotch, and astrophotography.
bryan@casinomeister.com
Top 5 casinos
