According to Wilson HTM analyst Simon Fritsch, the sportsbook, which has a strong presence in Australia and Scandinavia, is likely to attract the interest of pure online gaming operators, such as PartyGaming and 888 Holdings, and of UK betting companies, such as Ladbrokes and William Hill.
Companies seeking to move away from the US as well as Australian land based operators could also be interested.
“As a predator, Centrebet has potential to extract significant synergies via bolt-on acquisitions of smaller online gaming businesses,” said Wilson HTM, which has initiated coverage of Centrebet with a buy recommendation and 12 month share price target of A$2.35 per share.
In separate news, Tabcorp, Australia\’s largest betting and gaming operator, reported a 25 per cent increase in 2006 net profit up to A$543.4 million. Wagering recovered strongly after the year-long dispute with TVN was resolved in May. During the soccer World Cup, Tabcorp signed up 10,000 new customers for sports betting accounts and punters bet A$97 million on the tournament, up 77 per cent on the 2002 event.
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