Vegas giant’s bid for Ladbrokes and Coral
Bet shop jobs risk if it wins
THE gambling giant behind Las Vegas casino Bellagio has made an £8.1billion takeover bid for the British owner of Ladbrokes and Coral.
Entain, formerly GVC Holdings, rejected MGM Resorts’ bid, claiming it “significantly undervalues” the group.
MGM’s approach raises fears for the future of Labrokes and Coral’s 3,000 betting shops and their workers’ jobs.
Susannah Streeter, senior investment and markets analyst at broker Hargreaves Lansdown, said it was “unlikely” MGM would want the shops.
Shares in Entain, which also owns betting brands such as bwin and Foxy Bingo, jumped yesterday amid speculation of a higher offer or bidding war.
Russ Mould, of City firm AJ Bell, said: “It would be no surprise if the predator were to put a bigger wad down... with the result that another leading British bookmaking name falls into American hands.”
The bid comes after the owner of rival Las Vegas casino Caesars Entertainment struck a £2.7bn deal to buy William Hill – Ladbrokes’ industry arch-rival.
It is believed MGM wants Entain’s know-how to boost online gaming operations in the US, where a federal ban on internet sports betting was lifted in 2018.
Under takeover rules, MGM has until February 1 to make a formal offer.
The Mirror revealed in October that more than 460 high street betting shops had shut since the start of 2020, hit by online gambling, lockdown and a crackdown on fixed-odds betting terminals.
A weak pound has in recent months aided foreign takeover bids for UK firms.