Big Overseas Expanion Planned By Ladbrokes
Published: Thursday, October 13, 2005 Online-Casinos.com
BIG OVERSEAS EXPANSION PLANNED BY LADBROKES
Overseas branding has been built online
Major British betting group Ladbrokes is about to unveil plans for a massive
overseas expansion that will see it open betting shops outside Europe for the
first time, The Scotsman newspaper reported this week.
The bookies chain - part of the Hilton group is apparently in talks with a string
of international governments keen to follow the UK's lead on gambling regulation.
The aim is to set up joint ventures with local companies in overseas markets,
and open shops under the Ladbrokes brand name.
Deputy chief executive Brian Wallace is quoted as saying: "We are
talking about internationalising the Ladbrokes brand. A lot of countries would
like to adopt our standard of regulation, and they are asking: How can we get
help with this?"
Ladbrokes will provide expertise in a range of areas, including gaming technology,
the layout of the shops and managing the book - all in return for a presence on
international high streets.
Wallace added: "It's not like we will be spending hundreds of millions building
shops, but we are looking to set them up properly, and to explain to joint venture
partners how to run them. So, apart from running our business here in the UK,
the Ladbrokes guys are currently flying around the world - trying to set up these
joint ventures."
The company is expected to unveil the strategy to the market before the end of
the year, and has yet to name the governments involved in talks. However, Singapore's
prime minister gave the go-ahead for the state's first casinos this year and it
is understood that the Far East is Ladbrokes' primary target.
The book-maker currently operates more than 2,250 betting shops in the UK and
Ireland, and has a small presence in Belgium. It bought the portfolio from family
firms in 1981, but has not since tried to expand its empire.
It has built its brand overseas through its online offering - launched five years
ago with an investment of GBP20 million. Ladbrokes is targeting profits from the
website of GBP50 million by 2007, while the company claims to attract gamblers
from 160 countries.
Wallace said: "The online presence is what has given us the opportunity to export Ladbrokes."
