Betbull - Leip Acquisition Complete

Published: Monday, October 31, 2005 Online-Casinos.com

BETBULL LEIP ACQUISITION COMPLETE

Betbull signs off on multi million Euro deal

After months of negotiations (see earlier Online-Casinos.com & InfoPowa reports) Betbull has successfully completed the multi million Euro acquisition of the Leip Group, a major German retail bookmaker.

Betbull will be paying Euro 10 million and 700,000 Betbull ordinary shares - with the customary lock-in provisions. In addition, success based earn-out payments have been agreed contingent upon the Leip Group reaching ambitious goals over the next five years.

Betbull has successfully completed a Euro 7.5 million private placement with international institutional and private investors, issuing 1,250,000 new ordinary shares at a price of Euro 6 per share. Due to further demand the company is reported to be considering the issue of additional new ordinary shares to raise a further Euro 4 million.

The founder of the Leip group, Alexander Leip, has joined Betbull's board of directors as an executive director adding 17 years of retail bookmaking experience and high visibility to the board. He was also appointed as managing director of the Wettenleip GmbH.

Leip's latest accounts showed a profit before tax of Euro1 million on bets placed of Euro 51.7 million and revenue of Euro 8.1 million.

Commenting on the acquisition, Simon Bold, Chief Operating Officer of Betbull said: "Leip's presence across Germany will give us a massive "footprint" in both the German horse racing and sports betting markets - ahead of the 2006 soccer World Cup."