Sky Bet owners readying firm for stock market flotation

The majority owners of Sky Bet are investigating a possible stock market flotation of the online gambling giant, according to reports.

Reuters said private equity firm CVC Capital Partners had hired investment bank Rothschild to examine a listing of the firm, which they claimed could value the business at between £2.5 billion and £3bn.

CVC declined to comment on the reports when contacted by the Racing Post.

Sky agreed to sell its controlling stake in Sky Bet to CVC in 2014 in a deal that valued the bookmaker at £800 million.

Sky Bet have grown to become one of the leading online betting operators under chief executive Richard Flint.

In their latest annual report for the year to the end of June the company, chaired by former BHA chairman Paul Roy, said revenue had increased by 38 per cent to £516m, itself more than double the figure of £248m recorded in 2015.

Ebitda (earnings before interest, taxation, depreciation and amortisation) also increased by 38 per cent to £146m.

It would not be the first time CVC has been involved with the listing of a major bookmaker. Along with Cinven they bought William Hill from Nomura for £825m in 1999 before the bookmaker was floated in 2002.

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