13 May 2010 07:00
Sportech PLC ("Sportech" or "the Group")
AGM and Interim Management Statement
At today's Annual General Meeting of Sportech PLC, the UK's leading football gaming business, Piers Pottinger, Non Executive Chairman, will make the following statement:
"Trading for the current financial year has started well and we are pleased to report that the Group continues to trade in line with the Board's expectations. Since the start of the financial year we have strengthened our balance sheet by successfully revising our banking facilities until 2013, completed a £29.2 million Capital Raising by way of a Firm Placing, a Placing and Open Offer, and announced the acquisition of Scientific Games Racing, the international pari-mutuel technology provider and venue management business division of Scientific Games Corporation, for up to $83 million.
This is a strategically significant acquisition that will enable the creation of multi-sport pool-based betting platforms and an integrated suite of e-gaming products, where regulatory markets allow, across SGR's existing main markets of Europe, North America and South America. As a result of the acquisition, Sportech will offer gaming and betting products and services in both football and horseracing - two of the world's most popular betting sports. The acquisition remains subject to certain international regulatory approvals, which the Group expects to have received by the end of June 2010. Following receipt of those approvals the Directors intend to elaborate on their plans for the business and publish a strategic update detailing the exciting and significant potential of the enlarged business.
In January, Sportech announced its entry into a joint venture with Playwin, a leading Indian lottery and gaming brand to launch a multi-platform sports gaming business in the Indian market. Our joint venture sports prediction and fantasy games offering, SportsHero.com, has launched this month and initial visitor and subscriber numbers, both online and mobile, are encouraging.
In advance of next month's football World Cup 2010 in South Africa, a range of new games have been launched reflecting our growing combined online and offline business approach to products, pools and marketing. Various versions of these new games will then be taken forward into the new football season 2010/11. We have also recently launched a new digital version of the classic favourite game "Spot the Ball", which, by combining the existing game played on paper by 34,000 customers with a new digital offering for the new season, will offer the highest online jackpots available on a weekly basis to attract a new generation of players to this classic game.
Having achieved our commercial turnaround strategy in 2010, we are now utilising our enhanced technological capabilities to offer an improved portfolio of products to consumers through a broader range of distribution channels than ever before. Sportech is realising its ambition of becoming a profit focused, leading international pari-mutuel gaming company. The Board looks forward to the future with confidence."
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For further details contact:
Ian Penrose, Chief Executive
Sportech PLC Tel: +44 (0)20 7268 2400
David Rydell / Emma Kent / Rosanne Perry
Pelham Bell Pottinger Tel: +44 (0) 20 7861 3232