I
Heard this on L.B.C financial news buliteen, is this true, how will that affect the markets
Breaking News BETFAIR Merging with Paddy Power
I've been very outspoken from Day 1 about this coont from PP
His background was pure bookmaking, he had no interest in the exchange mechanism or it's philosophy.
I think the exchange is on borrowed times - they don't want people punting on there because they make no money from them, just the commission from the successful layer. They want those punters on the sportsbook.
His background was pure bookmaking, he had no interest in the exchange mechanism or it's philosophy.
I think the exchange is on borrowed times - they don't want people punting on there because they make no money from them, just the commission from the successful layer. They want those punters on the sportsbook.
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andyfuller
- Posts: 4619
- Joined: Wed Mar 25, 2009 12:23 pm
What I would like to see is the exchange spun off into a separate company from the sports book.
I didn't see this coming, what do people think is the logic behind it? Paddy Power already have a strong online presence I thought, it opens up access for Betfair to a large stock of high street shops but it does seem that all the focus is likely to be on the sportsbook part of Betfair's business rather than the exchange.
Yet more interesting times for the trading market.
I didn't see this coming, what do people think is the logic behind it? Paddy Power already have a strong online presence I thought, it opens up access for Betfair to a large stock of high street shops but it does seem that all the focus is likely to be on the sportsbook part of Betfair's business rather than the exchange.
Yet more interesting times for the trading market.
I wrote about this previously when we were discussing exchanges and being full time on them. I mentioned the need to have other incomes and that
as Le Tiss says. "I think the exchange is on borrowed times - they don't want people punting on there because they make no money from them, just the commission from the successful layer. They want those punters on the sportsbook."
We are going to hear talk of "business models" "realignment" "cross pollination"
This has always been my worry with full time trading and its a sad day.
This merger just brings the death of the exchange closer"We are lucky there still was an exchange."
as Le Tiss says. "I think the exchange is on borrowed times - they don't want people punting on there because they make no money from them, just the commission from the successful layer. They want those punters on the sportsbook."
We are going to hear talk of "business models" "realignment" "cross pollination"
This has always been my worry with full time trading and its a sad day.
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andyfuller
- Posts: 4619
- Joined: Wed Mar 25, 2009 12:23 pm
I don't see this as the death of the exchange. I think that is a knee jerk reaction to the news. The exchange is still very very profitable and I think it is quite clear that the majority of people who are using the exchange are not the kind of customers who would go back to the sportsbook.
So I suspect the exchange will continue to be undervalued by the new group as has been the case the last few years with Betfair but I don't see them looking at it as an opportunity to close it down. I don't see the logic of closing it down, only if you think all the exchange customers will switch to the sportsbook would you make such a decision or you would be handing on a plate to Ladbrokes/Betdaq a huge increase in profits.
So I suspect the exchange will continue to be undervalued by the new group as has been the case the last few years with Betfair but I don't see them looking at it as an opportunity to close it down. I don't see the logic of closing it down, only if you think all the exchange customers will switch to the sportsbook would you make such a decision or you would be handing on a plate to Ladbrokes/Betdaq a huge increase in profits.
Do you have a link to the call Peter? I can't seem to find one.Euler wrote:I'm phoning around the analysts this morning and will listen in on the conference call and see what I can drag up. Everybody surprised by it.