Gvc Share Discussion Threads

[rbcrbc] 05/3/2018 12:35

Big problems last night with the on-line poker site (soon after a big upgrade) competitors are having a dig on social media (which means they are worried by the potential competition of the upgrade to the site). Shouldn't be an issue as long as it doesn't happen again.

[loganair] 05/3/2018 11:57

On-line Poker is not illegal in Russia as it is called a game of skill, only sports betting and casino on-line is illegal.

In my opinion many of the clients that are on-line from Russia are actually from Georgia and just working in Russia.

[nurdin] 05/3/2018 10:53

If the Turkish or the Russians choose to bet on-line through service providers which are legal in their countries of domicile,are these service providers doing anything illegal?

[cheshiremoggie] 05/3/2018 10:25

Mmmmm....

Not sure about these deals in countries that have, shall we say, questionable governance. A license can be taken away at a moments notice if you dont make the correct bow to the son of the esteemed leader.

Owning a company in such a small country with revenues that high would argue that there are quite a few foreign customers who may, or may not be regulated.

A question....

Given that people are saying that online gambling is illegal in Russia, what does that say for the Russian sports betting joint venture that GVC is involved with?

Didnt anyone notice this before?

CM.

[noujay] 05/3/2018 09:55

It may be a loss of revenue but not all in one belt! The combined entity will generate so much more net cash, immediately, that it'll catch it up.FOBT is part of the deal price.Underlying performance will likely be good, assuming that they haven't spectacularly dropped the ball. Which is hard to believe.

[fenners66] 05/3/2018 09:46

Its also another €191m out of the door - not set aside for dividends.....

Turkey give away (well it was near Xmas)
Greek problems
Lads betting shops and FOBT report
Another acquisition to divert management

These results are going to be loaded with one off exceptionals and adjustments

The underlying position has to be good .... or.......

[slogsweep] 05/3/2018 09:33

seems odd to give away a turkish business to buy another with turish
customers. If dealing with turkey is so toxic why not steer clear altogether?

[noujay] 05/3/2018 09:22

Nice little cash generative strategic acquisition in line with more regulated markets, and good to see business as usual despite the big deal going on.The market of course nudges it down.

[t 34] 05/3/2018 09:18

mylands
Where does it say that the divi has been limited to 17.5 cents ?????

[nurdin] 05/3/2018 09:12

Hard to pull a rabbit out of a flat cap however :o)

[mylands] 05/3/2018 09:05

I think we need a stellar set of numbers on Friday and or a very upbeat trading statement to reverse this pull back.

I know the deal with LCL states that the div was being limited to a max of 17.5 cents, but Kenny has pulled a rabbit out of the hat before with totally unxepected div announcements.

[loganair] 05/3/2018 08:55

Crystalbet as well as customers from Georgia, they seem to also come from Russia, Greece and Turkey.

I am not surprised Russia as many Georgian's work in Russia.

[nurdin] 05/3/2018 08:00

RoG is a tiny country with a population of just 3.78m.A lot of Crystalbets customers however must be stretched well into the neighbouring states I suspect

[srpactive] 05/3/2018 07:21

Mylands

Yes agree, I have just read it, another move closer
to Russian revenue I would have thought? dyor

[mylands] 05/3/2018 07:12

On the acquisition trail again!

GVC Holdings PLC Acquisition
05/03/2018 7:00am
UK Regulatory (RNS & others)

GVC (LSE:GVC)
Intraday Stock Chart

Today : Monday 5 March 2018
Click Here for more GVC Charts.

TIDMGVC

RNS Number : 6107G

GVC Holdings PLC

05 March 2018

5 March 2018

GVC Holdings PLC

("GVC" or the "Group")

Acquisition

GVC Holdings PLC, the multinational sports betting and gaming group, is pleased to announce that it has agreed to initially acquire 51% of the equity capital of Mars LLC ("Crystalbet"), with a commitment to acquire the remaining 49% in 2021. Crystalbet is one of the leading online gaming operators in the Republic of Georgia.

Crystalbet was launched in 2011 and holds licences to offer online gaming products, including sports betting, casino games, poker and peer-to-peer games throughout the fully regulated market of the Republic of Georgia.

Since launch Crystalbet has achieved significant growth, driven by its entrepreneurial management team and a highly successful marketing strategy. GVC management believes that Crystalbet is the largest online sportsbook, and the second largest online gaming brand overall, in the Republic of Georgia.

For the financial year ended 31 December 2017, Crystalbet revenues were GEL102.9m (EUR34m(1) ), with EBITDA of GEL36.5m (EUR12.0m) and a profit after tax of GEL30.8m (EUR10.2m). As at 31 December 2017 Crystalbet had gross assets of GEL24.9m (EUR8.2m), predominantly consisting of cash.

GVC believes that it can further enhance Crystalbet's profitability and position in the Georgian online gaming market by leveraging the wider Group's extensive portfolio of games content (including poker), CRM, digital marketing capabilities and purchasing power.

GVC has agreed to acquire an initial 51% of the equity capital of Crystalbet for a consideration of EUR41.3m, plus a working capital adjustment, to be satisfied all in cash from existing GVC resources (the "Initial Acquisition"). The operational management team at Crystalbet, led by CEO Koba Giglemiani, will all remain with Crystalbet and retain their full equity shareholdings in Crystalbet following the Initial Acquisition. It is intended that GVC will acquire the remaining 49% in 2021, subject to certain buyer protections, at a valuation at the lower of 7 times the 2020 Clean EBITDA(2) or EUR150m.

Completion is not subject to regulatory approval and is expected to occur by the end of March 2018.

Kenneth Alexander (CEO) said:

"We are delighted to welcome Crystalbet to the GVC Group, having been impressed with what the management team has achieved thus far. Through access to GVC's content, technology and digital marketing skills, we believe Crystalbet can become a clear leader in the regulated Georgian market. This acquisition is in line with our stated strategy of being a truly global player, with a focus on regulated/regulating markets."

Levan Akhvlediani (Chairman of Crystalbet) said:

"I'm proud of all that has been achieved at Crystalbet and believe that in GVC we have found an owner that will both respect the key elements that have made the business so successful and at the same time has the skills and knowledge to take the company to the next level."

Koba Giglemiani (CEO of Crystalbet) said:

"When we were looking for a strategic acquirer to take Crystalbet to the next level, GVC was very much our first choice. GVC's experience and track record in many different geographic markets, together with its technology and marketing skills are key attractions for Crystalbet. We very much look forward to being part of GVC Holdings."

[loganair] 03/3/2018 22:30

My question is what Ladbrokes is proposing with AGC's

Is this a Ladbrokes idea or one of Kenney's???

[srpactive] 03/3/2018 20:47

Good post L, interesting W.

[woozle1] 03/3/2018 18:14

162 is the share price at the mo and is the bottom of the range for the GVC FOBT pay out formula. Any news will be good news.

[srpactive] 03/3/2018 16:23

I think they will as mentioned introduce games
areas in the ladbrokes shops.
This is similar to what has been announced at
Sports direct and the game brand, gb to be introduced
into some of the shops due to SD taking a 26% stake
in game, dyor.

[loganair] 03/3/2018 15:40

It seems to me basically a play by the Institutional Investors, go Long Ladbrokes while at the same time Short GVC.

[kop202] 03/3/2018 15:27

This weeks Moneyweek mag reported GVC has joined the top ten list of companies attracting short interest in there shares with over 10%
Debenhams is top with over 15% ....that I can understand but GVC?

[t 34] 03/3/2018 15:11

I just want the divi to be announced on 9 March .