GVC Makes £900 Million Bid for Bwin.Party
The online betting firm GVC has made a £900 million bid for its rival Bwin.party as it attempts to see off competition from 888 Holdings.
GVC has joined together with Amaya Gaming to buy Bwin.party in a cash and shares deal. It is thought that the cash element will make up about 45% of the total. The joint bid has valued Bwin, which put itself up for sale last year, at around 110p per share.
A spokesman for GVC said that the company is in close discussions with Bwin.party but declined to comment on the nature of the discussions.
Initially GVC and Amaya made separate approaches to buy Bwin. However, they teamed up to make a stronger bid and it is through that Amaya, the owner of Pokerstars and Full tilt Poker, is interested in Bwin’s poker assets and sportsbook.
This is not the first time that GVC has made a joint bid. Two and a half years ago GVC teamed up with William Hill to break up Sportingbet.
There is the chance that more deals will emerge in the coming months. Last month it was announced that Ladbrokes and Gala Coral are in talks about a merger which would result in them being able to rival William Hill. In addition, earlier this year William Hill tried to buy 888 for £700 million.
Bwin was created in 2011 by the merger of bwin and partygaming. However, since then trading at the company has been poor and it has recently sold off a number of assets such as the World Poker Tour.