Listed pub operator National Leisure and Gaming (NLG) has told the Australian Stock Exchange (ASX) that it has been approached by external parties interested in its acquisition.
While it did not name its suitors to the regulator, the Sydney Morning Herald has speculated that gambling giant Tabcorp could make a bid as a signal of its intentions to become a major Australian hotel operator.
Both NLG and the embattled Hedley Leisure and Gaming Trust are considered vulnerable to outside approaches because of their high levels of debt.
Contacted by TheShout, NLG chief executive, Andrew Joliffe, was not immediately available for comment as he is attending a gambling conference in the US.
However in a statement to the ASX, the company said it had been “approached by external parties interested in taking an ownership interest in NLG.”
It indicated that these approaches have to date not been sufficiently developed to warrant disclosure to the market.
''The directors note, however, that having regard to the recent rise in the company's share price, it is appropriate in their view to advise the market that the approaches that have been received have involved indicative valuations for NLG equity at levels below the current share price.''
NLG shares stood at 3 cents at 11am today (Nov13), the same price as a week ago despite a rise earlier in the week. http://www.theshout.com.au/2009/11/13/article/Tabcorp-amongst-NLG-Suitors/QEXZVSAQSO
NLG Price at posting:
4.0¢ Sentiment: Buy Disclosure: Not Held
