MGM makes an offer to buy Entain, owner of Ladbrokes

0
66


US casino company MGM #Resorts has made an offer to buy the owner of UK bookmaker #Ladbrokes with financial backing from billionaire mogul #Barry #Diller’s IAC group, people briefed on the matter said.

#Entain, which also owns sports betting site #Bwin and online gaming group #Partypoker, recently received an offer after rejecting a previous all-cash proposal worth around $ 10 billion, the people said. informed.

The decision by casino and resort operator of #Las #Vegas #Bellagio comes as several U.S. gambling operators seek to expand their online business as U.S. regulations begin to ease. #Although gambling is regulated at the state level, a 2018 U.S. #Supreme #Court ruling removed barriers to online sports betting.

IAC, which invested $ 1 billion in MGM earlier this year to boost the casino operator’s online business, backs the offer on #Entain and is ready to inject an additional $ 1 billion to fund the group’s takeover. listed in #London, those briefed on the matter said.

#It is unclear whether #Entain’s board of directors is willing to accept the new offer, which is expected to be a mix of cash and stocks, those briefed added.

#David #Satz, a former executive of US casino operator #Caesars #Entertainment with extensive expertise in the gaming regulatory environment in the US, was recently added to #Entain’s board to help the UK group assess its future prospects in the #American market.

#Mr #Diller, who started the #Fox TV network for #Rupert #Murdoch before building his own broadcasting and digital media empire, said in #August that the IAC experience could help grow the games business online from MGM.

IAC currently owns many online and digital media brands including The #Daily #Beast news site, #Vimeo video streaming site, and #Angie’s #List home improvement site.

#Over the years, IAC has acquired and later created a series of well-known online companies including the travel portal #Expedia and most recently #Match #Group, the owner of the dating apps #Tinder and #OkCupid.

MGM declined to comment, while IAC said in an email that “we do not comment on rumors or speculation.” The person could not be reached immediately for comment

MGM and #Entain signed a $ 200 million joint venture shortly after the #Supreme #Court ruling in 2018 to seek sports betting opportunities in the #United #States.

#In #July of last year, the two companies, which have a 50/50 partnership in a platform called #Roar #Digital, increased their investment to $ 450 million.

The #Wall #Street #Journal first reported on MGM’s offer on #Entain.


#Scoreboard is the #Financial #Times’ must-read weekly sports business briefing, where you’ll find the best analysis of financial issues affecting clubs, franchises, owners, investors and media groups in the global industry. #Register here.

LEAVE A REPLY

Please enter your comment!
Please enter your name here