Australia’s Tatts could wring more out of KKR team 19 Apr 2017 A buyout consortium has made a fresh attempt to gatecrash the betting group's takeover by rival Tabcorp. At $4.7 bln, this broadly matches Tabcorp in value. Hard cash is nice, but investors will forgo some potential upside. Tatts could open its books and push for a little extra.
Fantasy gaming IPO has real-life charms 6 Apr 2017 Netmarble wants a valuation of up to 65 times last year's earnings in a $2 bln-plus IPO. The South Korean maker of online role-playing games is growing fast, and profitability is improving vastly. So that figure is not as fantastical as it looks - provided the hits keep coming.
Tencent’s new high score enables M&A attack mode 22 Mar 2017 The Chinese web giant’s revenue surged 44 pct to $6 bln in the fourth quarter, powered by games and advertising. Fast-growing payments and cloud computing units also contributed. To sustain growth and keep rivals at bay, Tencent's acquisition machine will have to go up a level.
Macau’s hot streak depends on mainland momentum 2 Mar 2017 Gaming magnate Sheldon Adelson was right: Macau did hit bottom last year. Casino revenue in the gambling enclave keeps rising, up 18 pct last month to a two-year high. But everything hinges on China's economic health. If strains worsen, Macau's fortunes could change fast.
Tencent heads for high score in gaming M&A 29 Dec 2016 China's biggest tech company will look abroad for growth in 2017. It will probably follow its $9 bln purchase of mobile hit-maker Supercell with similar-sized deals. But these will barely move the needle. A bolder move would be to bid for U.S. heavyweight Activision Blizzard.
Nintendo’s ups and downs reflect puzzle for market 20 Dec 2016 The delivery on "Super Mario Run", a crucial step into mobile gaming, looks poor. Making a successful leap to this new platform is key for Nintendo. But the shares have gone on a round trip, suggesting investors are struggling to decode what they've seen so far.
Casinos offer post-Olympics pickup for Japan 16 Dec 2016 Japan has legalised casinos after many years of wrangling. The market could in time be worth more than $30 billion a year. The resulting construction boom and boost to tourism will help extend Prime Minister Shinzo Abe's economic programme past the 2020 Tokyo Olympics.
Crown Resorts rushes for Macau casino exit 15 Dec 2016 James Packer's Australian casino giant gave up plans to spin off its share in Macau-focused Melco Crown. Instead, it is selling half the stake to partner Lawrence Ho for $1.2 bln. Plan A would have been better but Crown Resorts needs to distance itself from Chinese gambling fast.
Counterbid for Aussie lotteries is a long shot 14 Dec 2016 A quartet including Morgan Stanley, KKR and Macquarie has gatecrashed Tabcorp's near-$5 bln takeover of rival Tatts. The new approach is fiddly and has a questionable valuation. Still, a canny target could use this to wring a bit more out of Tabcorp.
China cracks capital whip on Macau ATMs 9 Dec 2016 The government reportedly halved the cash tourists can withdraw using UnionPay cards in the gambling mecca. That hammered casino operator stocks and may derail the island's economic recovery. It also illustrates the utility of a debit card monopoly in stemming capital flight.
CEOs don’t deserve bonuses just for going shopping 1 Dec 2016 Activision's Bobby Kotick will receive an extra payout for doing a "transformative" deal. Investors have to benefit, but only for a limited time. Sensible M&A is part of what CEOs are already paid for. There's no need to reward them twice – or to encourage risky acquisitions.
Aussie gambling deal faces better odds as takeover 19 Oct 2016 Betting group Tabcorp is buying larger rival Tatts for almost $5 bln in stock and cash. The set-up makes more sense than last year's aborted merger, and the combined group would be better placed to take on foreign bookies. The real gamble is with antitrust regulators.
William Hill’s second fold raises the ante 18 Oct 2016 The $3.3 bln UK bookmaker called off a merger with Canada's Amaya after activist fund Parvus objected. That follows the decision to spurn a takeover bid from rivals 888 and Rank. With deal partners falling, revenue shrinking and no CEO, William Hill is playing a bad hand alone.
Crown highlights risks of courting Chinese VIPs 17 Oct 2016 Shares in Crown Resorts crashed after China detained some staff. Investors had cheered moves by Australia's top casino company to distance itself from Macau. But this episode shows Chinese gamblers, and official attitudes, are crucial to gambling groups across the region.
William Hill’s new card partner looks a better bet 10 Oct 2016 The UK bookmaker and Canada's Amaya, which owns PokerStars, are in talks to create a $5.5 bln company. A pending legal case at Amaya means William Hill needs to tread carefully. But with more online and abroad, Amaya looks more promising than recent suitors 888 and Rank.
Macau casino revival depends on Chinese fun police 14 Sep 2016 After an anti-corruption campaign on the mainland crushed gaming revenues in the Chinese gambling enclave, signs of recovery are starting to emerge. But magnates like Sheldon Adelson and Steve Wynn will have to deliver on family-friendly promises to avoid another smack-down.
Mario takes Nintendo up a level in mobile gaming 8 Sep 2016 Nintendo unexpectedly unveiled a Super Mario game at Apple's new phone launch. Following Pokemon's wild success, this confirms the Japanese group is no longer dragging its feet on reform and is ready to use top characters on mobile. It boosts the case for the new-look Nintendo.
Tencent is sturdiest rock inside China’s firewall 18 Aug 2016 China's closed internet has allowed giants Baidu, Alibaba and Tencent to thrive. The fortunes of the trio are diverging, however. While Baidu has stumbled and Alibaba too often goes off track, Pony Ma's focus makes the $240 bln Tencent look like the best of the bunch.
William Hill could turn tables with tilt at Rank 11 Aug 2016 The UK bookie has spurned a joint offer by 888 and Rank despite potential pre-tax cost savings of 100 mln stg. The pair might snare William Hill by giving it half the company and piling on debt, but 888 could end up worse-off. Or the hunted could turn hunter with a bet on Rank.
Chinese investors up the ante in online games 1 Aug 2016 Gaming outfit Shanghai Giant, Alibaba boss Jack Ma, and partners are buying Israel's Playtika for $4.4 bln. This looks pricier than Tencent's recent purchase of the firm behind Clash of Clans. Plus, casino-style games are even more at risk of being overtaken by the latest hit.