Ladbrokes/Coral Merger Close - Reports

Ladbrokes/Coral Merger Close - Reports

Wednesday, 22 July 2015

The merger between Ladbrokes and the Gala Coral Group could happen this week according to the Sunday Times.

A statement given to the Racing Post back in June initially sparked some interest in the deal after Ladbrokes CEO Jim Mullen stated that he is on a mission to expand the company and a merger with Coral was one of his top priorities.

"A merger with Gala Coral could create a combined business with significant scale and has the potential to generate substantial cost synergies," explained Mullen.

Although talks subsequently went quiet, speculation was raised earlier this week after the Sunday Times reported that the two parties were "poised" to seal a deal "this week".

Although representatives for Ladbrokes or Coral haven't commented on the rumours, many experts believe that it's only a matter of time before a deal is made. Indeed, following 888 Holdings' recent deal with (a deal which is not yet complete according to a rival bidder for, it's now more likely that ever that Ladbrokes will want to push through a deal with Coral.

If such a takeover can be negotiated it would make the newly formed entity the largest high street bookmaker in the UK with an estimated value of £3.5 billion ($5.4 billion). Moreover, it would give Ladbrokes (the company that would, ultimately, assume the assets of Coral), a new lease of life in the iGaming sphere.

What this means for online poker players is unclear, but it's likely that a merger will give the companies more liquidity and that should result in bigger games, more bonuses and new innovations if a deal is done.

Tags: Coral, Ladbrokes, business