UK Betting Looks in to Selling Betting Arm
UK Betting, the online sports content and gaming company may be preparing for the sale of its betting operation. The Times newspaper today reported that UK Betting is preparing to appoint UBS to handle a strategic review that could lead to a sale of its betting operation.
It is expected that the sale of UK Betting’s internet betting arm will attract considerable interest with online gaming companies such as PartyGaming and 888 Holdings currently looking into sports-book acquisitions. UK Bettings internet betting arm does not accept bets from the US so it is unaffected by the recent controversy caused by the arrest of two high profile industry leaders by the US authorities.
“The full value of the two parts of the business is not reflected in the current valuation.” Commented Peter Dubens, chairman of UK Betting and eight percent shareholder, who declined to comment on possible disposals.
UK Betting’s interim results statement was released yesterday. The document alluded to plans to change the companies name to reflect the growing strength of its online media business. Many city advisors saw this as a further clue that the company is planning to move away from its betting business.
UK Betting owns a network of sports content websites including teamtalk.com, planet-rugby.com and sportinglife.com. It said that in the first half of the year more than nine million users a month had viewed more than 400 million pages which drove record growth in advertising, affiliate and content syndication revenues. Overall, pre-tax profits before goodwill and share option costs rose by 64 per cent to almost £1 million, from turnover up 12 per cent to £62.4 million.
Editor, Jackpot.co.uk - 2006-09-13 17:30:14