Thursday January 24,2013 : LADBROKES TO ACQUIRE BETDAQ
Euro 30 million understood to be the consideration
After negotiations that began over a year ago as a betting exchange technology supply deal, stock exchange reports early Thursday indicate that online and land gambling group Ladbrokes has clinched a deal to acquire betting exchange Betdaq from Irish multi-millionaire owner Dermot Desmond for Euro 30 million.
Desmond's investment portfolio includes a 2 percent stake in Ladbrokes. The two companies already have a commercial relationship, with Ladbrokes using the betting exchange to hedge bets.
The deal will see parent company Global Betting Exchange Alderney, the operator of the Betdaq exchange business, change hands on a cash free/debt free basis.
Ladbrokes has also agreed to acquire from TBH a 10 percent stake in TBH Guernsey Limited, the technology provider to GBEA, for a further Euro 4 million, with a call option to acquire the remaining shares in TBHG after four years.
The transaction is expected to complete in late February 2013.
It is Ladbroke CEO Richard Glynn's first completed acquisition (there have been several failed attempts) since he took command at Ladbrokes three years ago. He has been under fire from media and analysts for not successfully closing deals in bids for 888, Sportingbet, Centrebet and a putative online collaborative deal with Playtech in the past.