..

Breakup of Bwin.Party Possible With Activist Fund Taking Stake in Company

Written by:
Aaron Goldstein
Published on:
Feb/18/2014
Breakup of Bwin.Party Possible With Activist Fund Taking Stake in Company

The Financial Times of London is reporting that a New York-based activist hedge fund will be taking a stake in struggling Bwin.Party

SpringOwl, which is managed by the activist fund Cumberland Associates, has “agreed in principle” to purchase around 6.1 per cent of Bwin.Party from the group’s founders, Ruth Parasol and Russ Deleon.

As part of the deal, SpringOwl will have the right to appoint one director to the board.

Ivor Jones, analyst at Numis, the company’s broker, said that a restructuring of the group that “releases value from its component parts” was made “more likely” by the hedge fund’s move.

The Financial Times suggests the group could opt to spin off Bwin.Party’s New Jersey-based business or even breaking the group into two parts, one that accepts customers from regulated markets and another part that accepts players from so-called “grey areas”.

A spokesperson for SpringOwl told the Financial Times: “We think the shares are undervalued and we look forward to working with management and the board.” Cumberland Associates, the hedge fund behind SpringOwl, said that it “typically adopts an active approach” to its investment.

Shareholders appeared to welcome the news with shares in Bwin.Party jumping 5.3 per cent to 119p.

- Aaron Goldstein, Gambling911.com

Gambling News

Vegas Strip Crime

Violence on Vegas Strip Leaves Tourists Terrified

Police say they found a man and woman shot overnight Saturday in front of the Paris Las Vegas hotel-casino.

State of Nevada Releases Covid Cases By Vegas Hotel, Casino

State of Nevada Releases Covid Cases By Vegas Hotel, Casino

Disease investigators have released a list of places where possible COVID-19 exposures have happened in Sin City, and they break down the numbers by casino/hotel property.  Oh, and it's ugly, especially if you happened to stay at the Cosmopolitan in recent weeks!

Can I Bet With BetOnline From Missouri

Can I Bet With BetOnline From Missouri

Missouri residents and visitors alike are more than welcome to place bets on the BetOnline website.  They have proudly served the US and worldwide market since 1999.  In fact, we here at Gambling911.com were one of the first to visit their office when they first set up that year.  BetOnline offers a generous welcome bonus and plenty of contests (max bonus $1000)

Can I Bet With MyBookie.ag From Indiana?

Can I Bet With MyBookie.ag From Indiana?

Indiana is set to begin offering mobile betting via in-state licensed apps, though diehard sports bettors regard the overseas sportsbooks as the crème de la crème. 

Can I Place a Bet on the FanDuel App From California

Can I Place a Bet on the FanDuel App From California

The new FanDuel sports betting app is available to those living in the state of California but only internationally-licensed websites are accessible for real money bets from within the state. 

Syndicate