Sky completes sale of Sky BetSource: RNS
19 March 2015
Sky completes sale of Sky Bet to CVC Capital Partners
Sky has today completed the sale of an 80% stake in its online betting and gaming business, Sky Betting & Gaming ("Sky Bet"), to funds advised by CVC Capital Partners ("CVC") and members of the Sky Bet management team, in a deal which values Sky Bet at £800 million. This follows the receipt of all required regulatory clearances.
Under the terms of the transaction, Sky has received cash of £600 million and a vendor loan note, and will be entitled to further consideration contingent on CVC achieving certain minimum return criteria on its investment in Sky Bet. Sky has retained an equity stake of 20% in Sky Bet and ongoing board representation.
The sale crystallises value for Sky that has been created in Sky Bet, and enables the enlarged Sky to focus on the significant opportunity for growth in pay TV across the five markets in which it now operates.
Edward Steel Tel: 020 7032 2093
Alison Hackney Tel: 020 7032 1451
Notes to Editors
Sky is Europe's leading entertainment company. The group serves 20 million customers across five countries: Italy, Germany, Austria, the UK and Ireland. We offer the best and broadest range of content, deliver market-leading customer service and use innovative new technology to give customers a better TV experience, whenever and wherever they choose.
Sky has annual revenues of over £11 billion and is Europe's leading investor in television content with a combined programming budget of over £4.6 billion. The company employs 31,000 people and is listed on the London Stock Exchange (SKY).
For more information visit www.sky.com/corporate.
About Sky Bet
Sky Bet was formed in 2001 and today operates five major online businesses, namely Sky Bet, its sports betting business; Sky Vegas & Sky Casino, its gaming businesses, Sky Poker, Sky Bingo and Oddschecker, the leading odds comparison site. Sky Bet, headquartered in Leeds, is led by Sky Bet Chief Executive Richard Flint who, along with all of Sky Bet's employees, will stay with the business.
About CVC Capital Partners
CVC is one of the world's leading private equity and investment advisory firms. Founded in 1981, CVC today has a network of more than 20 offices and over 300 employees throughout Europe, Asia and US. CVC manages funds on behalf of over 300 investors including pension funds, financial institutions, sovereign wealth funds and other investors.
To date, CVC has secured commitments of US$71 billion and has completed over 300 investments in a wide range of industries and countries across the globe, with an aggregate enterprise purchase value of approximately US$120 billion. Today, CVC funds have stakes in more than 60 companies worldwide, employing around 400,000 people in numerous countries. Together, these companies have combined annual sales of approximately US$120 billion.
CVC's local knowledge, relevant sector expertise and extensive contacts underpin a 31 year proven track record of investment success. CVC has a strong track record of investing in the betting and gaming sector, including successful previous investments in William Hill and IG Group; and CVC is the controlling shareholder of the Formula One Group, an important content partner for Sky.
For more information visit www.cvc.com
This information is provided by RNS