Sportingbet Nears Deal Deadline
William Hill and GVC are nearing their deadline for acquiring Sportingbet with no firm deal in the works.
Company officials on both sides of the negotiation are at odds over how much the site is really worth. Sportingbet rejected an initial offer of 52.5p/share, which would have added up to around £350m.
According to a report in EGR Magazine, William Hill/GVC is readying a second bid that’s closer to 55p/share. Sportingbet officials were reportedly looking for something more like 60p/share.
Want to know more about how this deal came about? Check out William Hill, GVC to Buy Sportingbet
Despite the ongoing negotiations, both sides seem optimistic that a deal could be worked out. The original deadline for reaching a deal is mandated by UK law (Sportingbet is an AIM-listed firm) but can be extended if necessary.
Negotiations have been ongoing since September when the two companies announced their acquisition effort to acquire the Oz-based betting site.
Under the planned acquisition, William Hill would take over operations on the regulated, Australian side of the business which accounts for around 90% of their revenues. GVC would would be running the rest of the business, including their growing South American operations.
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