Sports betting IPO to fund expansion

Wednesday, July 14, 2004 | 9:08 a.m.

BLOOMBERG NEWS

LONDON -- Betonsports Plc, an Internet sports gambling service, and its owners raised 54.6 million pounds ($101 million) in an initial public offering to help finance expansion in South America and Asia.

The sale of 39 million shares at 140 pence apiece gave Betonsports a market value of about 113.6 million pounds, the company said in a Regulatory News Service statement.

Betonsports, a London-based company that lets customers place bets on U.S. sports including baseball and basketball, has 1,800 employees in Costa Rica, the Dominican Republic and the U.K. It raised 27.3 million pounds in the sale, which it plans to use to fund expansion into South America and Asia and buy other Internet betting brands, the statement said.

The IPO "will allow us to consider possible value enhancing acquisition opportunities in various geographical locations," Chief Executive David Carruthers said in the statement.

The shares are set to trade on London's Alternative Investment Market from July 15. Evolution Beeson Gregory is advising the company.