Ladbrokes Purchases Global Betting Exchange Alderney
Ladbrokes has announced that it is acquiring Betdaq betting exchange operators, Global Betting Exchange Alderney Ltd.
As a result of the acquisition Ladbrokes is able to expand its sports betting and gambling platforms by rolling out a betting exchange. This will put it in direct competition with Betfair, the other major player in the betting exchange business.
The completion of the deal is expected to take place towards the end of February when final regulatory approvals are received.
According to the terms of the deal, Ladbrokes will pay the initial consideration fee of €30 million with half of it in the form of Ladbrokes shares.
Then, based upon the growth of GBEA’s adjusted gross profits between the end of 2012 and 2016 Ladbrokes will pay an earnout fee.
Ladbrokes CEO, Richard Glynn, said that “The Betdaq exchange is a well regarded and well invested business and a close strategic fit for Ladbrokes. Whilst the main focus of our digital growth strategy continues to progress well, this bolt on acquisition provides us with an exciting opportunity to grow our share of wallet through the creation of a differentiated and comprehensive betting proposition for customers and also supports our drive for improved liability management”