Monday, 20 December 2010

Bad bet

Yet more bad news for the embattled Betfair - the recently floated betting exchange (about which I am obsessed) and on which I took a notional short back in November.
Respected trade website Gambling Compliance is now reporting that the company is "facing the revocation of its [already compromised] license in Italy following an investigation by the country’s gaming watchdogs" - which adds to the gambling group's problems as it attempts to convince investors that it wasn't joking when it trumpeted overseas growth during its IPO.
So far Betfair's investor relations department is losing that battle badly. The shares were off another 6% today to a new low of 975p (a 25% discount to the 1300p flotation price) making this a woeful float by any standards - even those of Betfair's main sponsor, Goldman Sachs.

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