London Clubs Overvalued  

Harrah’s is determined to get a foothold in the gambling industry in Britain, and they think the best way to get it is to take over London Clubs – a loss-making operator of six gaming sites. Britain has recently become the focus of much attention for many slot machine and gambling casinos – since the passing of the 2005 Gambling Act has given the gambling industry much looser restraints. 

The offer that Harrah’s made puts the company at 60 times what the expected earnings are for this year. It just goes to show you how desperate outside companies are becoming to grab a piece of Britain’s pie. This is not the first of these outside takeovers that Britain has seen; Genting International just got control of Stanley Leisure last week with 75% of the business falling into their hands.  

As the time gets closer for where the location of the super casino will be, more and more outside companies are showing an interest in Britain and the possibility of all that slot machine revenue. The gambling commission had more applications last year for casinos than they have had since the gambling act of 1968 was passed. They finally had to set a cut off date, as the number of applications was just too much for them to handle. Britain now has the possibility of growing as large as Las Vegas or Atlantic City with all of the hoopla surrounding the new gambling rules and regulations. 

The companies should know early next year as to who will be approved for the super casino, as well as where the smaller ones will be located as well.

slot machine, slot machine, slot machine, slot machine

Back to October Archive or Slot Machines