British online gambling group Sportingbet.com was in the news this
week when it delayed the publication of its latest financial results
pending the finalization of a major deal that could see the group
acquiring an as yet unidentified major online poker site with a large
player base.
The postponement of their most recent financial results had little
immediate effect as Sportingbet stock continued to rise, by up to
3p a share following the announcement. Currently valued at 103p per
share, the rise is an indicator of both the success of Sportingbet
and the strength of the online poker industry.
Spokesmen for the company told financial media that there may be the
need for a substantial increase in venture capital surrounding the
acquisition, and confirmed that Sportingbet has its sights on a major
Internet poker operation in order to better take advantage of the
extraordinary growth of the online poker sector, which continues unabated.
Sportingbet is now keen to buy this new site, which would replace
their current poker interests. The idea is to purchase a site with
a significant membership in order to accommodate their current players,
who would then be able to play on virtual tables as and when they
wished and with a greater diversity of games and opponents.
The company’s financial results were due this week, but with
the acquisition deal being apparently close to finalization, these
have been postponed pending a resolution of the bid.
Sportingbet is currently around GBP sterling 36 million in debt, but
will raise equity in order to make the purchase. The latest financial
results are expected to be in line with those forecast, with operating
profit that should be no less than GBP 21.7 million before taking
out goodwill and exceptional costs.
Sportingbet CEO Nigel Payne was approached by InfoPowa for the identity
of the prospective acquisition but said "At this time we
are not able to comment any further, but we will inform you of developments
should they occur."