there is some under-informed comment on this thread.there are...

there is some under-informed comment on this thread.

there are only a few things to know:

1) Kaftaris family has been looking for a bidder for about a year. It is all there in the company disclosures. They have boiled the ocean looking for a bidder, and the only party prepared to stand at their price ($2) is Sportingbet.

2) Therefore - NO CHANCE of a counter-bidder. None. Zippo. But the $2 offer will get family support if it firms up.

3) Sportingbet is interested largely because of strong cost synergies between the business. Lots of costs to rip out.

4) THE BIG ISSUE is SPortingbet's ability to get instos to stump up with CASH funding for the deal. . . . which looks expensive at face value, and gaming companies are not that much in favour in UK. I give them a 50% chance at best.

5) if sportingbet can get funding. . . the really interesting aspect is the mechanism for transferring additional upside from GST funding to CIL shareholders. THAT could be worth $1 a share over 7 years or so. . . .but hard to assign a probability to it.