Both bwin and 888.com deny rumours of a takeover

Bwin have officially announced that there are no plans for a takeover of rival 888.com. Rumours have been circulating that Austrian based Bwin, who recently announced a 75% increase in profit for the third quarter, were attempting to raise enough cash for such a takeover but Norbert Teufelberger the co-chief executive of Bwin said “ We have contacts with everybody and common goals in that we want to operate in regulated markets. So yes, we talk to many operators and consolidation is always an option, but in this instance there has been no call to raise funds from existing shareholders with a view to acquiring 888”. Gigi Levy, the chief executive of 888.com agreed by saying “we have known Bwin for a long time but there is no truth in these rumours”.

Bwin has been in the news recently when it purchased the Italian operator Gioco Digital which followed the opening up of the Italian market and puts Bwin in a good position for the potential growth. 888 on the other hand is not doing quite so well but is preparing itself for the opening up of the US market through its subsidiary Dragonfish which could make it a very attractive proposition were it for sale. Another problem for any potential buyers is the fact 50% of 888.com is owned by two brothers so they would first have to be convinced of the benefits. It seems that despite the rumours a takeover is not on the cards for the time being.