Thursday November 19,2015 : LADBROKES RESPONDS TO SHAREHOLDER CONCERNS (Update)
Reiterates support for merger.
In response to billionaire shareholder Dermot Desmond’s public disapproval of the merger between Ladbrokes and Coral Group , Ladbrokes reiterated its recommendation that shareholders deliver a favourable vote.
The Board of Ladbrokes laid out a “compelling strategic rationale and benefits” of the proposed merger which include:
– The potential to deliver faster online growth
– The creation of the UK's largest LBO estate
– The creation of an extensive international portfolio of regulated businesses
– The delivery of significant cost synergies underpinning shareholder returns
– ability to operate across an enhanced and integrated technology platform
“The Board remains confident that shareholders will see the attraction of the proposed merger and continues to work towards a successful conclusion to the proposed transaction,” a company statement reads.