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JAXX MOVES CLOSER TO SELLING OFF LOTTO BUSINESS
Tuesday, May 8,2012 : JAXX MOVES CLOSER TO SELLING OFF LOTTO BUSINESS
Gambling group drives forward despite unsettled political situation
Political uncertainty in the regulatory and licensing jurisdiction Schleswig Holstein in northern Germany has not deterred gambling group Jaxx SE from pursuing the sale of its lotto business after securing a Schleswig Holstein licence for its MyBet subsidiary, along with Betfair and NordWest Lotto last week.
The political element surfaced over the weekend when the governing coalition headed by the CDU party fared badly at the polls, only just squeaking past the Socialists and placing the latter in a strong position to form a coalition of its own.
What the consequences might be if a socialist administration were to gain control has yet to be seen, but there could be far reaching legal implications if the now firmly established licensing regime were to be overturned on a political whim.
Meanwhile, Jaxx has forged ahead with the lotto deal, completing another stage by divesting itself of Euro 12.5 million and making slow but steady progress on the due diligence process. The advances mean that Jaxx can claim Euro 8 million of the consideration due on the deal, with a further Euro 1 million falling due at the end of Q3 2012, and the balance to be paid in a six-year fixed interest loan on a quarter by quarter basis.
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