Chris Heminway, Exec-Chair at Time To ACT, explains why now is the right time for the Group to IPO. Watch the video here.
The results and huge spike in share price for Flutter based on US business MUST make WEB come into view for a takeover from anyone wanting to get into that market especially if struggling in EU, UK etc due to restrictions and government legislation. Sure WH / 888 don't have a lot of cash but then again they won't need much to buy this off us..........
A note of caution NicetoMichu although as always it's each to his own but several times I have panicked when this starts rising over 1-2 days thinking that this is finally 'it' (see 2018 and 2021 from Brighty's post below) and I don't want to miss out and then it slips down to 2p or below again and I regret my impulse buying. Sure I fully believe that those bought on the up will one day be worth a lot more than the 3p etc I paid but I just wish I'd waited and bought some on the down at 1.8p which is what I try and do now.
I have some shares 'worth' 10p from the BetInternet Days.............but you're right LeddachJack that this hit 8p some time ago and hit 5-6p for a period not that long ago.
One day one of the big boys will snaffle us up for a multiple of our current value and we'll all retire to the Caribbean unless of course the former board of WMH are in charge and then they'll sell us for £5million and get jobs on the board of the buyer (allegedly!).
This is a somewhat wild suggestion but I wonder if we've bought WMH in Europe for their online customers and digital platform - it's much better than 888's and that the grand plan is to sell the WMH shops to BetFred.
I understand that the Done Brothers had built up quite a stake in WMH before the Caesars takeover so I wonder if behind the scenes the plan is to sell some / all of the shops to them.
As I said potentially a wild and way off the mark suggestion but I am in for the long haul here.
Yep Denham knows his onions and has no doubt been approached (and talked to) several 'big boys' about a takeover etc.
Madness to do anything but top up IMO. If this time next year California still hasn't approved gambling reforms or at least started the process I might say differently but for now this one looks to me like a rocket ready to explode!
Some basic thoughts from my side.
- The rights issue and time taken to set a price is affecting the share price along with the general sentiment around gaming stocks; as someone mentioned Flutter's 'warning' has spooked the market which had been boiling a little bit too much anyway in my opinion.
- 888 remains a very good stock with massive TO potential. Like the fact that the board are invested in the company. Means if they sell they will squeeze every last cent from the buyer unlike e.g. the WMH board who sold cheaply to Caesars and all got a nice job out of it.
- My own opinion is that 888 bought WMH EU for their online customers, platform, digital tech rather than the shops. I wouldn't be surprised that 12 months down the line they get sold to Fred Done.
- I would not be too hung up on UK Government Regs. Sure they will come but people will bet if they want and we need to be realistic that the US is the Golden Egg here. California alone is a larger potential market than Europe combined.........as such a bit of regulation in Blightly or NL should not be too much of a concern and we know Biden likes the idea of bringing in taxes from gaming and regulating it.
- Dividend remains attractive (to buy more!) and if the SP drifts down the yield goes up.......!
Grrrrrr! We were sold down the river at WMH. Someone on the BOD got a nice deal and / or didn't read the small print of the initial merger which meant they could not sell to someone else without compromising the Caesars deal. The Caesars people must have been celebrating long into the night when that deal was signed! :(
I have 888 shares too. Rising steadily and pay a juicy dividend to boot. What's not to like.
There are more informed people than me but I understand that when (note not if) sports betting is approved in California I understand that licenses will first be granted to those with an actual presence in the state and already authorised for betting etc.
As we have a racetrack and associated licenses this puts us at an advantage and a clear target for Flutter, Draft Kings etc who will want to get a slice of the Californian pie and the sooner the better. As such buying little old Webis and its licenses will get them in much quicker than if they open their own site etc and then need to pay to get the authorisations etc which I also understand will be quite costly i.e. north of 10 million dollars.
As such for me the plan is simple; wait until it looks nailed on that it will be legalised (November 2022 - nearly a year away eeeek!!) and then merge with or sell up to Flutter etc for a hugely inflated price from what we have now.
As Hannibal might say 'I love it when a plan comes together' and this one is so so simple but might get us a Porsche each!
I think it's potentially general positivity around gaming stocks after 888's stonking results today.
That's another share that's been missed (know this is a WEB board); cracking returns and dividends and majority is still owned by the founder which means he won't sell out until the price is right (unlike WMH board).
This time next year you'll be wishing you'd bought more at 6pm STPM.
Interesting we made that list when you consider our market cap compared to Flutter or Draft Kings but good to be seen as a 'major player' or even a player.
Price has stagnated at about 3.75p but for long term holders when it used to bob around 1.25 with the odd spike here and there I kind of like that price knowing that come this time next year (or potentially before) it is likely to blow.
I always think that when Denham and Big Jim think the offer is big enough that they can get their yacht in Monte Carlo with a supermodel on board it'll be good news for me and my launch in Kent with Miss Margate on board :)
Yep and it's still only 4.5p
TBH we all know this is a 'shell' company ready to be taken out by someone big. We do a bit of business but effectively by claiming licenses here, there and everywhere we just push up the overall value of our golden egg in California.
Dear Mr Entain (or others)
So you want to buy Webis for our rights in California - well that is valued at X million but don't forget license in NYC which is worth X million and Kentucky that is X million and West Virginia that is X million.
All in all your bid needs to be A LOT.
Kind regards
Webis Board (and us)
Basically the bigger we can get or appear to be the more we can extract when we get taken over.
I would agree with your sentiment; App is slow and poor compared to peers but I've been in this for ages and they pay a healthy dividend (inc specials) and the results keep going from strength to strength so I have the feeling it's the gaming area they specialise in as I only use the 'standard' betting App.
No problems at all.
I am with Interactive Investor (by default as was with Share Centre) and it took over a week to process (5-6 working days). Several times I followed up (due to nerves) and was told due to the new tax year it was very busy etc and I countered that I didn't think it really classed as the start of the tax year being over 3 weeks ago but that just got the same response.
I feel lucky as I actually only lost a very small amount during the sell / buy phase and with this share it could have been a lot on the 'wrong' day.
I know no one cares but managed to transfer my holding into my ISA via BED&ISA today.
Was very nervous that I'd hit a crazy spike and all my work over the years would be ruined but thankfully I hit a dull day with no real movement.
Now I am all set for the rise to £1 with no worry of Rishi getting his hands on the loot!!!
Look at the results for 888Sport too; that share was in the doldrums at £1.20 (I think) during the early days of COVID and yesterday hit £4.50 on big profit gains in Q1 2021.
I've had gaming stocks for years; one rationale was if I lose on the horses I am getting something back in dividends but over the past few years it's all about consolidation and the US and they've been good even if the BoD of WMH sold us out to Caesars for a fraction of true value ;(
Previous post from Brighty:
It's also worth pointing out to newbies that Webis extended its California licence until May 2025 with an option to 2030. This was a very smart move indeed as in the small print and legislation discussions from California last year it was proposed that new entrants will have to pay $10 million dollars as a fee for a licence where as existing operators (such as Webis) will have their fees halved. Another reason to make Webis even more attractive to the big players in my opinion. Looks like we are in for a very interesting and rewarding 2021 and 2022.
Interesting that the SP is now over what the owners / CEO valued it at a few years back when bigger players were sniffing around. I wonder how much further this one can go but then again Paddy Power was £20 back in the day and Flutter shares are now worth £180.........