Don Best Sports Sold ?
- Thread starter The Mover
- Start date
CES Software plc (LSE/AIM: CES; TSE:FUN), a provider of skill gaming and exchange-betting technology, has entered a conditional agreement to acquire Corcom, Inc., a Nevada corporation, and certain assets associated with Corcom's business, Don Best Sports.
Founded in 1989, Las Vegas based Don Best publishes exclusive, real-time wagering odds on the Internet for its Internet subscriber base. It also publishes a wide range of market-sensitive information, which enables its customers to make a more educated wager.
CES will pay US $40 million in cash, the issuance of one million CES ordinary shares on completion, and the issuance of a maximum of one million further ordinary shares pursuant to an earn-out. The deal values Don Best at approximately $53.4 million, not including earn-out payment. CES expects to close the acquisition no later than January 31, 2005.
For the nine months ended September 30, 2004, Don Best recorded a loss of US $0.25 million on revenues of US $7.85 million. As at September 30, 2004, Don Best had net liabilities of US $2.98 million. CES said the loss includes certain discretionary or other expenses that are not likely to recur in the future. "Adjusted for the non-recurring expenses, Don Best's annualized, pro-forma profit before tax for the nine months ended September 30, 2004 would have been US $6.968 million," CES said in a release.
CES said the acquisition will create additional value for CES shareholders. Don Best's business will complement CES' current exchange-betting and skill-gaming divisions, and fit into CES' overall strategy of using the Internet to create a more fun, varied and efficient gaming experience.
CES intends to raise up to ?8 million in a private placement which is expected to close shortly after the completion of the acquisition. CES had raised over $66 million in 2004. In July 2004, CES acquired the person-to-person skill gaming business, known as SkillJam, from eUniverse, Inc. for US $8 million in cash plus future royalty consideration.
Founded in 1989, Las Vegas based Don Best publishes exclusive, real-time wagering odds on the Internet for its Internet subscriber base. It also publishes a wide range of market-sensitive information, which enables its customers to make a more educated wager.
CES will pay US $40 million in cash, the issuance of one million CES ordinary shares on completion, and the issuance of a maximum of one million further ordinary shares pursuant to an earn-out. The deal values Don Best at approximately $53.4 million, not including earn-out payment. CES expects to close the acquisition no later than January 31, 2005.
For the nine months ended September 30, 2004, Don Best recorded a loss of US $0.25 million on revenues of US $7.85 million. As at September 30, 2004, Don Best had net liabilities of US $2.98 million. CES said the loss includes certain discretionary or other expenses that are not likely to recur in the future. "Adjusted for the non-recurring expenses, Don Best's annualized, pro-forma profit before tax for the nine months ended September 30, 2004 would have been US $6.968 million," CES said in a release.
CES said the acquisition will create additional value for CES shareholders. Don Best's business will complement CES' current exchange-betting and skill-gaming divisions, and fit into CES' overall strategy of using the Internet to create a more fun, varied and efficient gaming experience.
CES intends to raise up to ?8 million in a private placement which is expected to close shortly after the completion of the acquisition. CES had raised over $66 million in 2004. In July 2004, CES acquired the person-to-person skill gaming business, known as SkillJam, from eUniverse, Inc. for US $8 million in cash plus future royalty consideration.
Thanks homedog... looks like they are going after a bigger audience & most of the $ were all pay services. Never noticed until now that they had very little advertising or if any. Personally I don't subscribe to any of their services. Seems to me the money is in the advertising. Thanks !
