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Sportingbet revealed on Monday that it is still in discussions with Ladbrokes about a possible takeover.
Rule 2.6(a) of the Code requires Ladbokes to make a formal decision no later than 17 October 2011 by 5 pm. The deadline can be extended with the consent of the Panel in accordance with Rule 2.6(c) of the Code, according to the RTT News Service.
News of talks between the two companies emerged over the summer. Ladbrokes attempt to acquire 888 Holdings last year fell apart.
Sportingbet’s shares spiked by nearly 16 per cent back in June after news broke that it had received the "highly preliminary approach" from Ladbrokes.
Sportingbet, with its strong foothold in Australia and other nations, is viewed as providing Ladbrokes with the ability to expand its global reach beyond the United Kingdom.
"It would instantaneously establish a market-leading position in more than 10 global territories, including the key Australian, Spanish and Greek markets," Evolution Securities analyst James Hollins said. "Ladbrokes is highly UK-centric and does not have the brands to penetrate internationally."
- Aaron Goldstein, Gambling911.com
