Breaking News
FONT-SIZE Plus   Neg
Share SHARE

FT: William Hill To Start Talks With Playtech To Salvage Online JV

UK-based gaming and betting services provider William Hill Plc (WMH.L) will start talks with Playtech Ltd. (PTEC.L) on whether to salvage their online joint venture William Hill Online, after relations between the two companies broke down last year, the Financial Times reported Sunday.

Playtech, a provider of software and content to online and land-based gaming industry, has been William Hill's online partner after it acquired a stake in WHO for 250 million euros in 2008.

The stake was acquired by Playtech in return for providing the software for online casino and poker games to lure customers to WHO. Playtech owns 29 percent of WHO.

According to the FT report, William Hill and Playtech will now start talks, seeking to either end their joint venture or find "a third way". William Hill is reportedly seeking to gain strategic control over WHO by ending Playtech's veto over acquisitions.

In November 2011, William Hill announced that it does not intend to make a takeover bid for Probability plc (PBTY.L), after reportedly being vetoed by Playtech.

The FT report noted that William Hill also intends to obtaining a commitment from Playtech not to work with its rival Ladbrokes plc (LAD.L).

William Hill confirmed in March 2011 that it took an interim injunction to prevent Playtech from selling its stake in WHO, following a court hearing. In November this year, William Hill has the opportunity to activate a call option to end the joint venture, by buying out Playtech's stake.

WMH.L closed Friday's trading on the LSE at 239.20 pence, up 4.00 pence or 1.70 percent on a volume of 2.46 million shares. PTEC.L closed trading at 312.54 pence, up 1.29 pence or 0.41 percent on a volume of 0.54 million shares.

Register
To receive FREE breaking news email alerts for William Hill PLC and others in your portfolio

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
The Eurozone manufacturing moved closer to stagnation in September as German factory sector contracted for the first time in 15 months, final data from Markit Economics showed Wednesday. The manufacturing Purchasing Managers' Index fell more than intially estimated to a 14-month low of 50.3 from August's reading 50.7. The reading was below the earlier flash estimate of 50.5. Indonesia's inflation accelerated in September on food and utility costs, data from the Central Statistics Agency showed Wednesday. The trade balance swung into deficit in August as import growth exceeded the increase in exports. Inflation rose to 4.53 percent in September from 3.99 percent in... The U.K. economy grew more than estimated in the second quarter and the current account deficit widened from the first quarter, the Office for National Statistics said Tuesday. Gross domestic product grew 0.9 percent sequentially, up from the prior estimate of 0.8 percent. The annual growth was confirmed at 3.2 percent.
comments powered by Disqus
FREE Newsletters, Analysis & Alerts

 

Stay informed with our FREE daily Newsletters and real-time breaking News Alerts. Sign up to receive the latest information on business news, health, technology, biotech, market analysis, currency trading and more.