Betfred in talks over Tote sale – report
Betfred co-owner Fred Done is believed to be in talks over the possible sale of a 25% stake in the Tote.
According to Sky News, Done is in advanced discussions with a consortium of individuals from the racing industry and a deal could be agreed in the next few weeks.
Sky News said that the group could pay more than £30m (€34m/$41.9m) to acquire the 25% stake, which would in turn value the Tote at between £125m and £150m.
Sources close to the talks suggest Done would retain outright control of the Tote business after the transaction.
Sky News also said that various parties have approached Done in recent months over a possible deal to buy all or part of the Tote, but it is understood that he has only given serious thought to a sale with the current group of investors.
Eamon Wilmott, chairman of Total Performance Data, is one of the figures said to be involved in the current consortium, while Alex Frost, a former Merrill Lynch banker, is lined up to serve as chief executive of the Tote.
Betfred acquired the Tote in 2011 for £265m and was also granted a seven-year monopoly on pool betting.
Related article: Betfred to launch Forex, CFDs trading website