Though handing over a very profitable estate hurt badly, Ladbrokes got their money back with interest when MGPE
entered the fray at pounds 390m in December 1998.
When the takeover was blocked, after an investigation by the Monopolies and Mergers Commission, Ladbrokes retained Coral's 58 shops in Ireland and Jersey and its five-per-cent shareholding in SIS, and sold the rest of the company to MGPE
for pounds 390 million, later revised to pounds 412 million.
paid pounds 390 million for Coral in December 1998.
The Sunday Telegraph reported Stanley as having made an approach for Coral's 860 betting shops to MGPE
, which bought Coral in 1998 for pounds 395m after Ladbrokes' pounds 372m buyout was blocked by the Monopolies and Mergers Commission.
In turn, MGPE
took the advice of its parent company, Deutsche Bank, and the independent analysts at Credit Suisse First Boston, that the time is not right to maximise the value of an inevitable march into the public arena.
One of the advisers, Deutsche Bank, is linked to MGPE
, which is its venture-capital arm.
believe they are on firmer ground on the motor-racing circuit.
paid pounds 390m for the Coral Group from Ladbrokes, who were forced to sell the rival bookmaking firm following a Monopolies and Mergers Commission inquiry.
DECEMBER 18: Tote pull out of race, after bid of pounds 375m proved lower than remaining `runners', MGPE