LONDON (Reuters) - The majority owner of Britain’s Sky Bet, CVC, has chosen investment banks Citi (C.N), Goldman Sachs (GS.N) and Barclays (BARC.L) to lead an initial public offering of the online betting company, two sources familiar with the matter said.
Numis (NUM.L) and Deutsche Bank (DBKGn.DE) will act as joint bookrunners for the planned listing, which comes amid an expected clampdown on gambling machines in British betting shops that may make Sky Bet, which is online-only, relatively more attractive.
CVC [CVC.UL], Citi, Barclays, Deutsche Bank and Goldman Sachs declined to comment. Numis did not immediately respond to a request for comment.
In January, Reuters reported Rothschild had been hired to examine a listing for the company, which was formed in 2001 and is headquartered in Leeds.
Private equity firm CVC acquired an 80 percent stake in the betting business from pay-television operator Sky (SKYB.L) just over three years ago in a deal that at the time valued it at 800 million pounds.
In the year ended June 2017, Sky Bet’s revenue increased to 516 million pounds ($715.5 million) from 374 million pounds in the previous period. Earnings before interest, tax, depreciation and amortisation rose 38 percent to 146 million pounds.
Reporting by Dasha Afanasieva; Editing by Adrian Croft