18 Apr 2006
Online casino group Bet Fair’s new deal with Softbank has prompted news of a payout of approximately 300 million pounds sterling to investors. If these predictions prove correct, the share price could increase dramatically while investors in the online casino firm could reap substantial rewards. One spokesperson for the online casino group has even suggested that smaller investors could gain up to 130 percent return on their money.
The news of a payout comes after Bet Fair’s deal with Japanese internet group Softbank was closed successfully last month. The deal between the two companies is designed to help Bet Fair become one of the most lucrative online casino operators in Britain. Softbank paid 355 million pounds for a 23 percent stake in the online casino company, increasing Bet Fair’s value to 1.54 billion pounds. The six-year-old online casino firm’s cash position has therefore increased to 125 million from 80 million pounds. Of the total 355 million, 45 million is being invested directly in the company via new shares.
The move to reward shareholders has given rise to speculation that the online casino group will float within the year. However, the rumor has been denied by one Bet Fair spokesperson, who stated that the online casino group’s management has ruled out any plants to go public. According to the firm, growth will be easier to achieve privately and if it does decide to go public on either London’s Alternative Investment Market or the London Stock Exchange, it will not be without serious consideration.
Back
|
