Spettacolo
GVC and 888 Fight for the Right to Bwin.Party
The fight looked to be over after 888's offer of almost GB£ 900 million was recommended to Bwin's shareholders. But GVC has jettisoned its initial partner Amaya and come back with a new deal that values Bwin at just over GB£ 1 billion.
Whichever offer is ultimately accepted, the new entity will become a top three player in the interactive gambling market, according to analysis by Global Betting and Gaming Consultants (GBGC).
Based on gross gaming yield (the amount lost by gambling customers), Bwin.Party currently sits in 4 place, with 888 in eighth (8 ) and GVC in twelfth (12 ) position.
But an 888-Bwin business would leap into second (2 ) place, ahead of PokerStars, whilst a GVC-Bwin tie-up would jump ahead of William Hill into third (3 ) place.
Neither deal would threaten Bet365 in the number one position.
The battle for Bwin is just one of several deals to have taken place in the gambling sectors in recent years as operators try to gain size and see off their rivals in increasingly competitive, high-tax markets.
Another major deal going through is Ladbrokes' takeover of Coral. Ladbrokes' digital division has really lost ground in recent years and just makes the top 10 operators at number 9. A Ladbrokes-Coral entity would have combined interactive GGY of around GB£ 520 million, still some way behind William Hill's 2014 performance.
Global Betting and Gaming Consultants' CEO Warwick Bartlett commented:
Mr Warwick Bartlett
Warwick@gbgc.com
+44(0)1624-827138
+44(0)7624-483-921