Betfair Prospectus Coming Out | IXGAMES

Betfair is set to release its prospectus regarding the shares that will be made available to investors. Many investors have taken interest in the much-awaited announcement by the company, especially now that the current gambling scene is at its best form. The number of shares available for sale and at how much these will be offered will be revealed via the prospectus. Current estimates According to the Financial Sunday Express, investors are expecting valuations of around £1.2 billion. Since some are of the opinion that the gambling industry is being overvalued, it is believed that Betfair would reduce the price of its stocks. The original media estimate was around £1.5 billion, but it seems that investors have taken different factors into account. Some of the bankers including Goldman Sachs, Morgan Stanley, Barclays Capital, and Numis are believed to have overvalued the current status of the betting company. Betfair IPO concerns Other than that, there was a comment that the Betfair Initial Public Offering might bear a resemblance to the stocks for sale by Ocado, wherein the company drastically lessened its proposal, going down to £800 million from the original £1 billion.  According to a head of an investment group, “the Betfair story is quite good: people are comfortable with it.” He added that the only problem is the inaccuracy in valuation, often being exaggerated. “Some people have been put off the IPO as they believe Goldman will overvalue it,” he said. About Betfair Betfair has been one of the largest Internet betting exchange in the world. It was launched during the year 2000 and has since then accumulated more than 4 million clients from different countries. Its large draw of the gambling community can be attributed to the accessibility of its online gaming suite as well as the increased odds of winning offered by the site. In fact, the company claims around 20 percent better odds compared to other betting exchange providers. Of course, it also charges a commission on all winning bets set at 5 percent of the net winnings. As one of the largest in the industry, Betfair has continuously grown in proportions and is the site of choice by many gamblers worldwide. At the same time, the company is also engaged in other gambling related services including owning a poker site called PokerChamps.com. Other services include Cash 4 Clubs, Zero Lounge, and Betfair Mobile. In between these successes, Betfair has also been involved in a number of controversies involving the betting community. Only recently, investigations have been forthcoming regarding its clients that are targets of internal revenue investigations. Currently, the ten percent flotation of Betfair shares will be an important consideration, when it comes to the company’s plans of going forward in the gambling industry, with investors anticipating a share from one of the world’s largest Internet betting exchange.