Sky Bet Will Still Retain 20% Ownership in CompanyPublished on December 5th, 2014 6:02 pm EST
More merger and acquisition news involving the online gambling industry surfaced earlier this week after CVC Capital Partners, the biggest private equity firm in Europe, announced that they were purchasing a controlling stake in Sky Bet for $1.25 billion.
According to reports, Sky plc, which is a massive media company that is headquartered in London, will retain 20% ownership of Sky Bet. Sky Bet (or Sky Betting and Gaming), which was conceived by Sky plc in the early 2000s, offers sports betting, casino games and online poker.
Per the terms of the deal, CVC Capital Partners has secured a long-term license to continue using the "Sky Bet" name.
The Sky Bet sale news continues what has been an active year for mergers and acquisitions in the online gambling industry.
The biggest news of all, of course, was Amaya Gaming Group's $4.9 billion acquisition of Pokerstars and Full Tilt Poker earlier in the year. The deal has been very well-received by the market, as shares of Amaya Gaming Group are up roughly 100% since the purchase was announced.
Another company that may be acquired very soon is Bwin.Party. The company has clearly struggled over the past number of years and would surely benefit from a change in ownership and direction. There have been rumors that Amaya Gaming Group is interested in acquiring the company - as a matter of fact, some media reports have suggested that Amaya has already made a formal offer for the company. As of yet, however, nothing has been announced.
The acquisition of Pokerstars put the online gambling industry on notice that anybody can be acquired at anytime.
Source: Forbes.com - Private Equity Keeps Betting Big on Online Gambling
Filed Under: Online Poker Rooms