Â£3.3 Billion Ladbrokes Deal
The long awaited deal has finally gone through; Ladbrokes the bookmaker has sold its Hilton International hotel company. This means that Ladbrokes is now a stand alone betting business and is free to invest its very healthy cash flow in on its own development rather than spending it on hotels.
Shareholders can expect a 233.4p-a-share special dividend and a 6.6p final dividend. It is also widely expected that Ladbrokes will aim to secure a glut of overseas partnership deals to justify its rejection of a £37 billion bid from CVC Capital Partners by proving that it can expand rapidly.
Now a standalone company Ladbrokes are reviewing thier ban on accepting bets from America, where online gambling is a legal grey area. Their Chief executive Chris Bell explained, "We are the biggest online brand that doesn't take US players."
With the boost that this years football World Cup is expected to give UK bookies things are looking rosy for Ladbrokes and its shareholders.
Editor, Jackpot.co.uk - 2006-02-24 14:29:39