Irish businessman Dermot Desmond could be in line for a windfall after Ladbrokes confirmed it was in discussions to buy his betting exchange.
It is thought the bookmaker could be just weeks away from paying an estimated £30m for the Global Betting Exchange, which trades as Betdaq.
Ladbrokes said on Monday: "[We] enjoy a close commercial co-operation with Betdaq and can confirm discussions regarding a potential future acquisition. Negotiations are ongoing, though at this stage there is no certainty that an agreement will be reached."
Desmond set up the exchange 13 years ago in Dublin as a rival to Betfair, but it has failed to grab a significant portion of the market and is thought to be loss-making. Betfair, meanwhile, continues to dominate, with an estimated 90% share of the exchange market, which operates more like a trading platform on which punters can lay bets against one another.
The Ladbrokes chief executive ,Richard Glynn, has been dogged by failed acquisitions since he took the helm of the group almost three years ago, holding talks with 888 and Sportingbet that ultimately collapsed. But analysts say this deal is more likely to go ahead, as Desmond is also one of Ladbrokes' biggest shareholders, with an estimated stake of between 2% and 3% in the bookie.
It is thought Ladbrokes is keen to offer customers, who use both betting exchanges as well as fixed-odds services, a one-stop shop.
Simon French of Panmure Gordon said: "Acquiring Betdaq would provide Ladbrokes with broader product reach and may reduce leakage of certain customers to Betfair but significant investment in product and marketing would likely be required for Betdaq to become a material profit contributor to Ladbrokes."
Desmond retains a hold rating on the shares with a target price of 202p.
Ladbrokes shares ticked up 0.5% in early trade to 203p.
Showing posts with label Betdaq. Show all posts
Showing posts with label Betdaq. Show all posts
January 07, 2013
July 15, 2011
Betting exchange Betdaq exits Australian market following media investigation
Irish-based betting exchange Betdaq (Global Betting Exchange) has abruptly pulled out of the Australian market following an investigation by local media outlet The Australian. A Betdaq spokesman announced that “betting services on Australian races and sports has been stopped. A legal problem has developed. It should be sorted out soon but until further notice we will not be operating on Australian sport.”
The brouhaha began when reporters from The Australian secretly opened an online account with Betdaq, which is not a licensed partner of the Australian Football League, National Rugby League or any of Australia’s horseracing bodies. The Australian claims that their ability to open a Betdaq account makes a mockery of the recent agreement between national sports associations and the government to police the integrity of Aussie sports.
Betdaq is a particular concern for integrity watchdogs because the exchange model allows punters to bet on teams/horses to lose. In response to The Australian’s investigation, Racing Victoria’s Rob Hines and Racing NSW’s Peter V’Landys issued a joint call for legislation that would require Australian banks to block money transfers to non-licensed betting operators. AFL general manager Adrian Anderson backed the racing bosses’ call, but used the incident to issue a plea for lifting the ban on licensed operators taking spot bets, which he said “would ensure punters did not go seeking that option on overseas sites.”
While Betdaq may have pulled Australian fixtures from their menu, other operators are likely to soon fill the void. Sky Racing’s recent deal with UK racing channel At The Races can only boost the Australian racing industry’s profile abroad, and thus further stoke horse bettors’ appetites for betting on the bob-tailed nags.
The brouhaha began when reporters from The Australian secretly opened an online account with Betdaq, which is not a licensed partner of the Australian Football League, National Rugby League or any of Australia’s horseracing bodies. The Australian claims that their ability to open a Betdaq account makes a mockery of the recent agreement between national sports associations and the government to police the integrity of Aussie sports.
Betdaq is a particular concern for integrity watchdogs because the exchange model allows punters to bet on teams/horses to lose. In response to The Australian’s investigation, Racing Victoria’s Rob Hines and Racing NSW’s Peter V’Landys issued a joint call for legislation that would require Australian banks to block money transfers to non-licensed betting operators. AFL general manager Adrian Anderson backed the racing bosses’ call, but used the incident to issue a plea for lifting the ban on licensed operators taking spot bets, which he said “would ensure punters did not go seeking that option on overseas sites.”
While Betdaq may have pulled Australian fixtures from their menu, other operators are likely to soon fill the void. Sky Racing’s recent deal with UK racing channel At The Races can only boost the Australian racing industry’s profile abroad, and thus further stoke horse bettors’ appetites for betting on the bob-tailed nags.
February 02, 2011
NJ legalises betting exchanges
New Jersey Governor Chris Christie yesterday signed bills to legalise exchange wagering and single-pool wagering, as part of a package aimed at propping up the Garden State’s ailing racing industries.
Christie said in a statement after applying his signature to Senate bills S-2229 and A-2926: “These measures represent the next steps in following through on my administration's commitment to securing a strong, independent, self-sufficient horse-racing industry in New Jersey. We are providing new tools to help the industry implement new strategies, generate additional revenue and capitalise on interest in horse racing around the state.”
S229 would allow the New Jersey Sports and Exposition Authority to contract with a betting exchange operator to provide this form of wagering in the state.
The bill’s passage into law will have been welcomed by European-based betting exchanges Betfair and Global Betting Exchange-owned Betdaq. The formerentered the US in January 2009 with the US$50m purchase of horse racing TV and wagering network TVG. California last year passed a similar bill allowing for exchange wagering by 2012.
Christie now has 20 days left to decide whether or not to sign Senator Raymond Lesniak’s S490 egaming bill to allow Atlantic City’s casinos to offer online versions of their games. In addition to making New Jersey the first US state to license and regulate egaming, the bill would also redirect a portion of tax revenues raised towards New Jersey’s ailing horse racing industry.
Christie said in a statement after applying his signature to Senate bills S-2229 and A-2926: “These measures represent the next steps in following through on my administration's commitment to securing a strong, independent, self-sufficient horse-racing industry in New Jersey. We are providing new tools to help the industry implement new strategies, generate additional revenue and capitalise on interest in horse racing around the state.”
S229 would allow the New Jersey Sports and Exposition Authority to contract with a betting exchange operator to provide this form of wagering in the state.
The bill’s passage into law will have been welcomed by European-based betting exchanges Betfair and Global Betting Exchange-owned Betdaq. The formerentered the US in January 2009 with the US$50m purchase of horse racing TV and wagering network TVG. California last year passed a similar bill allowing for exchange wagering by 2012.
Christie now has 20 days left to decide whether or not to sign Senator Raymond Lesniak’s S490 egaming bill to allow Atlantic City’s casinos to offer online versions of their games. In addition to making New Jersey the first US state to license and regulate egaming, the bill would also redirect a portion of tax revenues raised towards New Jersey’s ailing horse racing industry.
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