Sportingbet raises the stakes with AIM listing

NEWS Sportingbet.com is shifting up from the lightly-regulated Ofex exchange to raise cash for acquisitions and expansion. On top of this sum, Mark Blandford, chief executive and founder, will sell shares worth £3m, as will business angel Geoffrey Wilkinson. They each hold a 22 per cent stake in the company. Venture capital backer Trophy will sell £7m of its holding. As of last September, Sportingbet claimed 50,000 customers in 103 countries and said that it accepts bets in 23 currencies. At that point it posted a loss of £4.2m for the half year but said that revenue exceeded costs for the first time on turnover of £114m for the six month period. Nigel Payne, finance director at Sportingbet, said: "We have reached critical mass in the high-season and the business model is proven." Sportingbet is based in Alderney, where it is the largest employer. In May of last year it bought Betmaker.com, a Costa Rican-based bookmaker and casino operator, for £9.5m in cash and shares - a move which accounts for both its recorded losses and rapid jump in turnover. The company plans to announce pricing and share allocations on 22 January and to start trading on 30 January. From this morning, all directors have been heavily involved in a round of presentations to institutions to sell the placing.