Battle for Bwin.party Continues With 888 Upping Its Bid
Online gambling firm 888 Holdings Plc (888.L) stepped up the battle for Bwin.party Digital Entertainment Plc (BPTY.L) on Tuesday, submitting a revised takeover proposal as it looks to see off rival interest from GVC Holdings Plc (GVC.L).
Bwin, up for sale since November, said it had received a revised offer from 888 and was evaluating it together with a proposal received from GVC Holdings. It did not give details of the new proposal.
Bwin had previously accepted a 900 million-pound offer from 888, saying GVC's offer of 1.03 billion pounds ($1.6 billion) was too complex and the growth prospects were less attractive.
GVC's spokesman confirmed that the company had made a formal offer to Bwin on the same terms made on Aug. 7.
The bid battle fits into wider consolidation in the gambling sector as firms try to bulk up in response to higher tax bills in Britain and tighter regulation.
888 has promised cost benefits of at least $70 million per annum by the end of 2018, while GVC has promised benefits of more than $150 million per annum by the end of 2017.
Bwin said its board's unanimous recommendation of 888 Holdings offer, that was announced on July 17, was unchanged by this announcement. ($1 = 0.6496 pounds)
