Coral/Ladbrokes £2.3 billion merger

Overview:

• Gala Coral and Ladbrokes are looking to complete a £2.3 billion merger.
• The merger plans were first announced in 2015 but the plans were investigated by the Competition and Markets Authority.
• Ladbrokes will issue new ordinary shares to the existing shareholders of Gala Coral representing 48.25% of the enlarged issued share capital of Ladbrokes Coral.
• The combined entity may have to sell between 300 and 400 betting shops as part of the deal to gain clearence.
• The owners of Gala Coral - Candover Investments, Cinven and Permira, also considered an IPO of the company, while Ladbrokes was linked to an acquisition by Paddy Power.

Sam Duke - Editor