Please register to gain access

Extrabet to close

Post Reply
User avatar
harry_rag
Posts: 12238
Joined: Tue May 04, 2010 6:41 pm

Extrabet to close

Post by harry_rag » Thu Jun 09, 2011 7:23 pm

Full story here.

http://www.financial-spread-betting.com ... n-finance/

A great shame, not least for the 55 staff looking at redundancy. Less choice and value in the spread markets and a loss of one of the inputs I use when framing my own fixed odds prices.

"IG Group however stated in its trading statement that it has been unable to secure a successful sale of its Extrabet sports betting division in its entirety on terms that were acceptable to the Group, so the Board has decided to wind down its sports betting business to better focus on financial trading. The sports unit made a small profit last fiscal year, only because wagers on soccer’s World Cup boosted the business. ‘We were pretty sure not to make money for the next three years,’ until the next World Cup, Howkins said The company has started a redundancy consultation process with the 55 employees of Extrabet towards this end. IG Group said it has reached an agreement to sell the majority of the client list relating to Extrabet’s sport spread betting and fixed odds betting business to Spreadex Limited in return for semi-annual payments over the next three years. The payments will be computed according to revenue generated from clients making up its client list. This transaction is expected to finalise by the end of June. IG is also seeking a buyer for its pricing engine software, utilised for market making into betting exchanges."

User avatar
Col
Site Admin
Posts: 17377
Joined: Fri Apr 23, 2010 3:07 pm

Re: Extrabet to close

Post by Col » Fri Jun 10, 2011 6:18 am

harry_rag wrote:

A great shame, not least for the 55 staff looking at redundancy. Less choice and value in the spread markets
Totally agree with those sentiments harry.

Post Reply