GVC denies sale of Turkish business

GVC Holdings denied a report that its CEO sold the Turkish unit to a business partner last year.

Turkey.- GVC Holdings has denied a report that Chief Executive Officer Kenneth Alexander sold the company’s Turkish unit to a business partner last year. The report said that the move was to push through the acquisition of rival Ladbrokes. However, the company denies this ever happened.

GVC sold its Turkish business for no charge to Ropso Malta in 2018 and said that it would book a €46 million loss on the sale after lenders for the Ladbrokes deal hesitated as internet betting is illegal in that country, Reuters informs. GVC had initially agreed to sell the business for €150 million before it struck the Ladbrokes deal.

Despite the reports, GVC said on Monday that the business from Turkey was sold after a competitive process overseen by investment bank Houlihan Lokey. The company also said that all details were fully disclosed in previous announcements.

“The board today re-iterates the fact that subsequent to the disposal of the group’s Turkish-facing business, GVC has no activity either directly or indirectly linked to the Turkish market,” GVC said. “Board also categorically refutes suggestions that the group, or senior management, continue to benefit from any operations servicing the Turkish market.”

“The business continues to perform strongly and is focused on taking a market leading position in the US and other regulated markets,” GVC added.

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