LONDON - Internet gaming group Trident Gaming PLC is the next big name to fall to the temptations of a float after PartyGaming, EmpireOnline and 888.com. The group was reportedly planning a float on the AIM worth £100 million, says The Independent.
The Isle of Man-based company hit headlines in July after the acquisition of Gamebookers, a top 30 internet gambling firm that has a market presence in over 123 countries across the globe. The company is targeting next spring for a possible launch on the market.
"We started out in 2001, building sports betting solutions," chief executive John O'Malia was quoted as telling the paper. "Since then, we have been growing more or less organically and establishing our product, BetBug, which due to its unique design and regulatory profile is the only way to offer sports betting legally in the US market."
The steady progress in the gambling market meant that there was not much change in Trident's workforce, which remained at 12 for nearly four years until the Gamebookers'acquisition.
"Gamebookers will have turnover of about €180m (£122m) this year and earn about €11m in revenue and €5.5m to €6m in profit. So we have had a very big leap on the learning curve," said O'Malia.
He added that the problem with an IPO was that the market fluctuations would have to be taken into account before leaping to any decision. His second headache is the fact that in a volatile industry that is rapidly consolidating, "How quickly should one feel compelled to make follow-on transitions and acquisitions?" He has to solve these issues before announcing anything definite, but there are advisors who recommend that a float is the next step for Trident.
Robin Chhabra, equity research, Evolution Securities said that the collapse of PartyGaming's shares had made the market cautious, "But few would argue that online gambling is still set for rapid growth," he commented.
Posted
on : Mon, 10 Oct 2005 08:20 GMT | Business News
By : Paula Jenkins
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