Gala Bingo Considering Stock Market Flotation

It was reported that UK based and Online Bingo operator giant Gala Bingo is currently checking its numbers for a possible stock market flotation. The Leisure Group, which is owned by private equity firms Cinven and Candover, is understood to be in talks with its banking advisers. City analysts estimates that Gala Bingo could be valued at approximately 1.8 billion UK pounds if it decided to go ahead with a listing possibly at the end of this year.

Gala Bingo could be encouraged to pursue a stock market listing option following the removal of uncertainty over a new gaming regulation which had been passed earlier this week. The new gaming laws will remove the need for both bingo and casino players to join bingo and casino clubs 24 hours before playing. Gala Bingo will be allowed to roll over prize money to increase the chance of its bingo players in winning the jackpot prize.

Gala Bingo was once owned by leisure group Bass and in March of 2003 it was brought from CSFB private equity for1.24 billion UK pounds. In January 2006, Gala Bingo announced that its 166 bingo halls had posted a 7.2% percent growth in sales to 55 million UK pounds. Likewise sales in the seven weeks to January 7 were up by 6.8%.

Gala Bingo also manages 29 sites in Britain, the Isle of Man and Gibraltar. Sales for those operations were up by 5.7% to 16.5 million UK pounds and by 3% on its like-for-like basis. Gala's sales for the year to September rose up by 17.9% to 544.4 million UK pounds.