Shares of British online bookmaker and Internet casino hub Ladbrokes jumped today after the company confirmed that it was formally trying to buy rival online gaming brand 888, whose shares also jumped 12.6 percent on the news.
Ladbrokes reportedly wants to buy 888 for about 70 pence a share. It originally tried to buy 888 for £470m four years ago, reports the Telegraph.
“Should the deal happen, it would be Ladbrokes’ first acquisition since the bookmaker was spun out of the Hilton hotels group in 2005,” the Telegraph adds, also noting that Sportingbet may also be trying to buy 888.
So how big a deal is this? Pretty huge, according to the Guardian: “If Ladbrokes launches a formal offer for 888 it could lift the London stock market.”
“In entering the talks with 888, [Ladbrokes Chief Executive] Glynn is trying to address the weak online presence of Ladbrokes,” the Guardian adds.
And when casino brands are big news well in the stock market, that’s often good news for affiliates, who can look to see more players recognizing the company names. Check out “Affiliate Marketing and the Online Gambling Marketplace” for more info on how the international stock market affects casino affiliate marketing.