Ladbrokes in merger talks with Gala Coral Group
Bookmaker Ladbrokes has said it remains in talks with the board of Gala Coral Group over a possible merger.
A deal would produce the UK's most significant bookmaker with almost 4,000 High Street shops.
The discussions concern combining Ladbrokes with Coral Retail, Eurobet Retail and Gala Coral's online firms.
Ladbrokes said there was no certainty that the talks would result in a deal, and possible terms and timings were also yet to be agreed.
Shares in Ladbrokes rose more than 11% after the statement.
«A merger with Gala Coral could produce a combined business with considerable scale and has the possible to produce substantial expense synergies, creating worth for both business' investors,» president Jim Mullen stated.
If the deal goes ahead, it would see the merged group overtake William Hill as the biggest UK bookmaker, uniting around 2,100 stores from Ladbrokes and 1,845 from Coral.
The merger talks do not consist of Gala's 132-strong bingo company.
Mr Mullen added that the firm's board has yet to decide whether a deal would be «tactically attractive» and whether it might be «provided to shareholders on appropriate terms.»
The firm stated that the deal, if completed, might be classified as a reverse takeover of Ladbrokes.<img src=«https://www.yohaig.ng/wp-content/uploads/2023/04/bet9ja-cash-out-no-more-spoiled-tickets-468x60-1.gif»/ width=«468» height=«60» alt=«Register at Bet9ja using the promotion code YOHAIG for a N100,000 welcome bonus» title=«Use promotion code YOHAIG when registering at Bet9ja to claim your N100,000 bonus» loading=«lazy»>
Ladbrokes previously tried to buy Coral in 1998, but its planned takeover was blocked by the federal government.
The then Trade and Industry Secretary Peter Mandelson said a merger would result in «a weakening of price competitors at the national level» and a decrease in consumer choice.
Earlier this promotion code year, Ladbrokes reported a big fall in pre-tax profit for 2014, from ₤ 68m to ₤ 38m, and said that it anticipated to close 60 UK shops this promotion code year.
Those plans would be untouched by any handle Coral Group.
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