Popular online sportsbook operator Sportingbet has confirmed that it has been in talks with its former Rival Unibet over at potential £600 million merger. More talks have been schedule in the coming weeks, making the merger seem like a very likely possibility.
Following the announcement, Sportingbet’s stock prices increased by 5%. Mergers seem to be quite popular among investors, and many online gaming companies have come together this past year to take advantage of the financial opportunities that arise from such business deals.
Earlier this year, Sportingbet was charged with running an illegal online gambling operation in the United States, where the activity is currently banned. The company agreed to a £22.8 million settlement, which would allow the company to continue operating as usual in Europe and clear the way for future mergers.
Despite these legal issues, Sportingbet has seen a successful year. Last month, the company reported a 27% revenue increase. This year has seen a huge increase in the popularity of “in-game” betting online, and Sportingbet has taken advantage of this new trend. The company is certainly in the ideal financial position for pursuing mergers with other big players in the online sportsbetting industry, and we anticipate that the partnership will be mutually beneficial.