Betfair will soon have its stocks trading on the London Stock Exchange (LSE) and it will be trading from a position of power, for its entry into the LSE immediately puts the firm into the FTSE 250 Index as one of the exchange’s 350 biggest companies.
The IPO will reportedly happen in October, with at least 10% of existent shares to be floated on the LSE. Betfair’s 614 stockholders have been invited to sell their shares as well; 14 individuals own 75% of all Betfair stock including founders Andrew Black and Ed Wray’s combined 24%. Company representatives have stated that at least eight of these shareholders will be selling at least some of their holdings in the IPO.
Betfair offers a betting exchange as well as internet poker, sportsbook and an online casino in the United Kingdom. The company has an undisclosed share in TVG, a provider of horse race wagering in America. Perhaps this investment was a hedge to someday provide its betting exchange and online sportsbook in the USA, but with publicly-traded shares, Betfair will clearly not be providing services in unregulated markets.