Praesepe enters bingo sector with Beacon buy 20/04/2010

Jon Parker

PRAESEPE, the UK investment business formerly known as Aldgate Capital, has completed its acquisition of Beacon Entertainments, the company behind the BeaconBingo.co.uk site launched in November and UK bingo clubs including Beacon Cricklewood, the biggest bingo club in the world.

The deal marks  Praesepe's entry to the growing bingo space, and will see the AIM-listed business also take on Beacon assets including the Showboat chain of 26 adult gaming centres (AGCs) in addition to the six clubs.

It will also see Beacon executive chairman Brian Mattingley, also 888 deputy chairman and the former chief executive of Gala Regional Developments and of Ritz Bingo, join the board as an executive director for business development.

Praesepe chief executive Nick Harding said: "This is a transformational deal for Praesepe as we continue to deliver our strategy. Beacon Entertainments gives us greater scale in our AGC business, which will help deliver shareholder value, and takes us into the mainstream bingo sector, which we believe is poised for growth.

"Taking on the debt previously held by Beacon also transforms our capital structure and gives us a flexible platform for growth."

Prasepe's strategy is to pursue acquisition and consolidation opportunities in the low stake, high volume ("LSHV") betting and gaming sector in Europe.

The group's first acquired business, HJM Caterers and E&J Hall Investments, was made in July 2008 and comprised 31 AGCs.

Beacon, the company's fifth acquisition, brings the total number of operating sites in the group's estate to 86, comprising 76 AGCs, six bingo clubs and four family entertainment centres (FECs).

Praesepe expects to announce its preliminary results for the 52 weeks to 27 December 2009 on 30 April.

The Beacon Bingo Affiliate Programme was launched in January on the Virtue Affiliates Network.

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Posted: 20/04/2010