UK listing will allow ‘undervalued’ Intertain business to flourish

UK listing will allow ‘undervalued’ Intertain business to flourish

Tuesday, July 26, 2016
Intertain has rebuffed all suitors and is to go it alone in London

Online bingo operator Intertain’s decision to float on the London Stock Exchange will help the market recognise the company’s true value, according to its new CEO Andrew McIver.

The company has just announced its intention to pursue the comprehensive UK-centered strategic initiatives in order to ‘enhance shareholder value’ and McIver believes it is the sensible long-term decision for the JackpotJoy operator.

He explained: “Since my appointment, I have gained a deeper understanding of Intertain's businesses, its strong set of core assets and its talented team of managers and operators.  This has reinforced my view that Intertain is a company that continues to be undervalued by the market. 

“I believe that the UK Strategic Initiatives provide us with a significant opportunity to realize that value by giving us a platform to further develop Intertain's core assets, whether by organic growth, expansion into new geographic markets or otherwise, for the long-term benefit of Intertain and its shareholders and other stakeholders.”

Since undergoing its business review, Intertain said that it had received preliminary and refined proposals from ‘highly-credible strategic parties’ offering to acquire all of the shares of Intertain, but added that no definitive proposals had been received leaving the path clear for a London listing.

McIver has been joined at the helm by another UK industry stalwart in the shape of Neil Goulden, who has become Intertain’s chairman.

He said: “We believe that a London Listing will result in a fuller and more appropriate valuation of Intertain's business, as these strategic initiatives are a key part of a range of initiatives intended to significantly realign Intertain's share price with the company's fundamental business results and prospects.  We also believe that they best position Intertain for long-term growth and success, which furthers our objective of enhancing shareholder value."

Totally Gaming Says: Intertain is placing a lot of stock in London’s perception of being an international hub both for finance and the gambling industry. Whether Intertain’s hopes to obtain greater exposure to a large analyst community with extensive sector experience and to increase the group's profile and status among UK- and European-based investors will remain to be seen.

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