Ladbrokes and 888 in discussions

Some four years ago the casino news stories were full of a possible tie up between Ladbrokes and 888 but it all came to nothing, until now that is. 888 is no stranger to rumours as around this time last year it was forced to issue statements denying any ongoing discussions with the Austrian group Bwin but this time statements issued by both Ladbrokes and 888 confirm that preliminary discussions are taking place although Ladbrokes are keen to point out that just because discussions are taking place does not automatically mean that an offer will be forthcoming. Onlinecasino.ie believes that  the Chief Executives of both companies see the logic of a deal so it will probably happen. Ladbrokes have been left behind a little since William Hill announced their tie up with Playtech and Partygaming with Bwin added to which 888 have already issued a profits warning earlier this year and scrapped a dividend payment so something clearly needed to happen. Ladbrokes Chief Executive Richard Glynn who is fairly new in the post has made it clear on a number of occasions that he was interested in acquisitions and if he can bag 888 for around the rumoured price of £240 million it could strengthen the group. One fly in the ointment surrounding the purchase price will be possibility that the US Department of Justice may yet pursue and fine 888 for activities after internet gambling was made illegal in the country. Others such as Partygaming and Sportingbet have already come to an agreement with the authorities but the threat still hangs over 888. We shall keep you updated through our casino news pages as we hear more.