Sport is made for betting

Interesting discussion in today's Racing Post about 'plagues' of betting shops in city centres. Councils and residents are getting sick of them, the big bookies love them and can't get enough retail shops. Why I hear you ask? Racing's share of the gambling pound is ever decreasing, more and more punters are betting online and you rarely see anyone in the betting shops that already exist... except standing around the FOBTs (Fixed Odds Betting Terminals) or glorified slot machines. And that's what brings in the profits for the bookies. Racing, football and any other sport they show in the shops are mere sideshow value to the evil machines. Every licensed betting shop in the UK can have four FOBTs (little wonder Irish betting shops are struggling in comparison without them), which have much higher prize limits than pub fruit machines. Sources at the biggest High St firms have told me that they consistently make up to £1m per DAY across their network of outlets ...

Sportingbet started the trend by purchasing No1 Betting Shop from Vanuatu and then moving them to Darwin, Paddy Power got into the act by snapping up Sportsbet and IAS, and then Centrebet started preening their feathers in public trying to woo as many prospective buyers as they could. Anecdotal evidence suggests that several other Australian firms are available to buy, as most of the original owners are approaching retirement age. BWin, William Hill, Ladbrokes, 888 and others were mentioned as prospective suitors for Centrebet but it all seems to have gone very quiet lately. BWin have tied up with Party Gaming which should keep them busy plus neither are shy about attracting Australian customers despite laws against online casino and poker operations; William Hill's online division is 29% owned by Playtech, another company with fingers in many bingo, casino and poker pies which reach Australia either organically or by targetted marketing; Ladbrokes are still involved in the bid f...

Not a good week for bookies at Royal Ascot, with favourites and plunge horses landing the chocolates all festival. With only six horses winning at 10/1 or bigger - a very low number considering the size of many of the fields - there was no respite at all for bookies. Only Rite of Passage winning the Gold Cup on Thursday at 20/1 was a surprise result in any of the big races. "Punters have never had it so good. Every single day they've given us a right royal bashing," said Ladbrokes' David Williams. "Thank goodness for the England football team. They are our only salvation in a week of misery for the bookies." "It has been carnage, no other word for it," said William Hill spokesman David Hood. "What is it about Ascot? For some bookies the five consecutive losing days of 2010 will make the infamous Dettori day look like a round of drinks. Totesport told a similar story, with spokesman George Primarolo adding: "Punters have clawed back their...

As the French government is finally about to push the button to permit online wagering in France and its territories, supposedly in time for the World Cup (gee, don't leave it too late), the big boys are doing the 'proper' thing according to their boards and getting out. William Hill and Betfair have both announced plans to cease doing business with French residents from June, while they consider their plans of whether to seek a local licence of their own, acquire one via a joint venture or continue with legal action. They won't be the only ones. But will the 'ceasing business' be genuine, or a token effort to appease lazy authorities like elsewhere in Europe?

Recent British press speculation suggested it was almost a done deal but the competition to buy Centrebet looks hotter than ever. William Hill are not the only ones trying to buy Centrebet, and rumour has it they are more than just 'tyre-kicking' several other potential targets Down Under. There are several Australian corporate bookmakers courting potential buyers at the moment and the Leeds-based firm will be at the top of any list for vendors. Sounds like only a matter of when, not if. Stay tuned for who Hills will be buying, and who will be taking over Centrebet, but it may not be the same deal.

As mentioned on this blog previously, Centrebet is very keen to be bought out and some of the big boys of the global industry have been sniffing around. William Hill is believed to have bid A$132m for the company according to this report , although the deal is not exclusive. Ladbrokes and Bwin are still evaluating their own bids. Watch the video on that link to hear the comical pronunciation of Bwin by the Aussie 'never been out of Sydney in my life' presenter. How does A$132m stack up? In 2003, Centrebet was bought by SportOdds (the Kafataris family) for A$46.55m, although Jupiters Casino Group did say they wanted an unrealistic A$150m for it at the time. IASBet changed hands last year for around A$60m (after Centrebet posted a hostile bid for about half that amount). The big variation in cost is the value of the AUD vs GBP - back in 2003, the $46.55m was worth less than £20m. Now on the very strong AUD, the A$132m equates to £80m. Still, it sounds about the right sort of pric...

In a week where the SPs for the Grand National were the highest for 20 yrs, and when politicians are talking about forcing tax-dodging bookmakers to pay their share to racing, William Hill chief executive Ralph Topping is rolling out the same tired old argument about layers on Betfair. Has he ever tried laying horses at several points above the SP? It's not a very profitable practice, and the select few who made it work have probably have given up due to the premium charge. Hills and Ladbrokes have moved their online operations offshore for no other reason than to dodge tax and levy - and yet they have the gaul to say Betfair don't pay enough tax? Tax dodgers trying to dob in another firm who they think doesn't pay enough tax.... How about forcing these alleged bookmakers to lay a decent bet to all customers and to get rid of those thieving FOBTs? The compulsion to lay a bet may sound like pie in the sky but there are moves afoot in Australian state government to force bo...

It may not be Bwin after all, as I predicted a few weeks ago, but the news is out in Australia that several different UK suitors are sniffing around the pioneer of online sports betting, Centrebet. Centrebet rockets on takeover talks SHARE investors piled into Centrebet yesterday as three British gaming companies loomed as potential bidders to take over the listed online wagering and gaming company. ... Analysts said Centrebet -- which is 60 per cent owned by the family of its chief executive, Con Kafataris -- was a good fit for foreign companies wanting to get a stake in the Australian market ahead of expected deregulation. British operators Ladbrokes, William Hill and Sportingbet are the reported overseas suitors for Centrebet and some analysts believe the takeover price could reach $2 a share. The Productivity Commission recently recommended a swag of reforms thought to be favourable for growth in online sportsbooks and casinos in Australia. The Australian market is undergoing major...

William Hill's plans to take over the world are taking a hit - now they are pulling out of Spain, just a year after giving up on Italy. I doubt they'll be bothering with applying for a French licence then. For all that time and money invested, they are selling their share in the joint venture for the grand sum of one euro. That's two heavy losses in Europe from two - even Celtic aren't that bad when they travel!

Could Con Kafataris and family, majority owners of Centrebet, be ready to sell up and get out of the bookmaking business? This report seems to think so: Centrebet keen to join forces BOOKMAKER Centrebet has confirmed it is looking to buy a competitor or be taken over after its surging share price drew a speeding ticket from the stock exchange. The ASX yesterday asked Centrebet to explain a 21 per cent increase in its share price -- from $1.32 at close of trade last Wednesday to a high of $1.60 during trade yesterday. ... Several potential buyers are reported to be circling Centrebet, with controlling shareholders the Kafataris family said to be willing to sell their 60 per cent stake if the price is right. ... Centrebet has reportedly been eyeing some of the industry's smaller players, while global operator Ladbrokes is said have considered making a bid for Centrebet. Centrebet shares closed yesterday up 8.57 per cent at $1.54. Interesting developments. Centrebet can't get a lo...

Irish betting giant Paddy Power has struck gold with a five-year partnership with French sports betting duopoly PMU. New Paddy Power B2B arm signs landmark deal with France's PMU PADDY POWER HAS MADE a major play for the French market, signing a five-year deal with French duopoly operator Pari Mutuel Urbain (PMU), the largest single operator in Europe, via a new Paddy Power business-to-business (B2B) division. ... PMU chief executive and chairman Philippe Germond today said: "This partnership is going to enable PMU to offer sporting bets online under its own brand and retain direct management of its client database. Paddy Power will provide us with its expertise in sports betting. Through this partnership PMU is given the means to be ready for the opening of the online betting market in France next year." Paddy Power's traders will set PMU odds, set risk parameters for each event, bet type and customer and manage PMU’s online promotions from Dublin. Chances are they w...

It's a natural fit for Betfair to get into India. Cricket betting is enormous and local bookies are mostly traders, offering a buy and sell price with each quote. Legalising betting in the country is the next step, and the most logical way to crack down on illegal, unlicensed betting, the most common route for corruption. Indian law means foreign companies must partner with local firms to do business there, in any industry. Betfair and William Hill target India Britain's biggest betting companies are bidding for the first online gambling licence in India to gain a slice of the country's $60bn (£37bn) betting market. The high-street bookie William Hill, along with internet players Betfair and Bwin, are bidding for the internet licence in the Himalayan state of Sikkim in early September. A decision is expected in the next two weeks. Some 13 betting companies, including local Indian operators, are battling it out for at least three licences in Sikkim. Sources said they want th...

Who'd have thought crusty old William Hill would sponsor a football team? Certainly not in the UK but they've taken the big step to sponsor Malaga, the closest club to their Gibraltar base of online operations, in La Liga. William Hill signs shirt sponsorship deal with Malaga CF It's easier this season to count the clubs who aren't sponsored by bookmakers!

William Hill - soon to channel all online business through Gibraltar Ladbrokes - soon to channel all online business through Gibraltar BetFred - online business goes through Gibraltar Stan James - all business goes through Gibraltar Victor Chandler - all business goes through Gibraltar Paddy Power - online business goes through the Isle of Man Boylesports - online business goes through the Isle of Man Blue Square - all business goes through Alderney Sportingbet - all business goes through Alderney SkyBet - all business goes through Alderney Betfair - all non-UK and non-exchange business goes through Malta Jennings - online business goes through Malta Totesport - have no choice, they are an organization created by the UK government Bet365 - online sports betting is licensed in the UK, other products through Malta If I have any of these wrong, please feel free to contact me and clarify. So the headlines are deservedly hard on Hills and Ladbrokes, but they're not Robinson Crusoe in th...

If the big guys had stopped moaning about Betfair and worried more about balancing their books by heading at better prices, the financial market would be shedding less tears... William Hill down on its luck Profits at the company dropped to £91.5m in the six months to 30 June, down from £111.1m a year earlier, due in part to a poor performance in horse racing. It admitted that trading has been disappointing this month, and claimed to have lost money on every major horse race in recent months, with the exception of the Grand National. Boohoo, only £91.5m profit.

It will be announced today that internet operations of one of Britain's biggest bookmakers are being switched to Gibraltar in a measure to reduce tax paid from their financial statements. This will not go down well with the UK government who will lose out on a lot of tax revenue, nor the British racing industry which may suffer a significant reduction in levy payments. And if Hills go, will Ladbrokes do the same? Or Coral, or Betfair....? Odds shorten on William Hill move offshore Looks like a rather big loaded gun is being pointed at the Chancellor demanding change in taxation rates...

Noticed all the advertising from bookmakers lately about "Best Price Guaranteed"? What a load of rubbish. There are only two points of comparison - when you place your bet, and the SP. So linguistically it's wrong, as it can only the better of two, not best. But more importantly, what happens if the odds go 2/1 (your bet) 5/2 9/4 (SP)? Do you get the 'best odds' then? No, you'd get paid at SP. It's a Starting Price guarantee, nothing more. True 'best odds' is what the Aussies call 'Top Fluc' - the best official price recored in the betting ring. The Advertising Standards Authority should pull Paddy Power, William Hill and any other bookmaker trying it on, up on this - it's just another attempt by bookies to pull the wool over punters' eyes.

Blue Square and William Hill are reporting suspicious betting patterns on yesterday's Grays Athletic v Forest Green match in the Blue Square Premier League (Conference). According to Sky Sports News, one-sided betting action came for Grays to win the match after trailing at half-time. They trailed 0-1 at the break. The spokesman for William Hill the firm doesn't have a problem taking strong business on one outcome, when it is to exclusion of all others, then something is a bit suspicious. The story of the match was a penalty conceded jsut before half-time, then two goals in a minute after the break, and 'not one shot shot on goal in the final twenty minutes'. A little suspicious.... Further details here from SportingLife Neither firm has settled bets on the match yet, pending further investigation. Betting on end-of-season matches is always fraught with danger for bookies - look at the Accrington Stanley v Bury match last year or the plethora of matches with odds-on dra...

In the recent £2m problem gambler claim, the judge has remarkably found bookmaker William Hill at fault, but effectively said the punter would have lost all his money anyway, so it wasn't their fault.... Surely this one has further to go via appeals courts. Read here for more.

Big story this week in the UK press is of a leading greyhound trainer suing bookmaker William Hill for £2m, after the punter had self-excluded himself. Daily Mail article Gambling unfortunately attracts people with addictive personalities and people who simply can't stop betting, despite what their bank balance tells them. Stories from casinos in particular where gamblers simply bet their lives away hurt the entire industry which works hard to keep itself above the seedy reputation earned by a tiny minority of establishments. Companies in the better-regulated jurisdictions all have responsible gambling policies, where problem gamblers can stop themselves from betting with a company via self-exclusion measures. The punter here alleges he started gambling again just weeks after he sought self-exclusion with Hills, and they agreed to it. Then he proceeded to lose £2m fairly quickly. It's easy to blame the punter for his lack of self-discipline, but if William Hill have committed t...