GVC drops Turkey operations amid merger rumor with Lads Coral

UK-listed online gambling operator GVC Holdings has disposed its Turkish-facing business, fueling speculations that it will once again attempt to acquire UK rival Ladbrokes Coral Group.

In a regulatory filing, GVC announced that it sold Headlong Limited to Ropso Malta Ltd., a company backed by investors who run the operation’s IT, for €150 million ($174.9 million).

Headlong accounts for 9 percent of GVC’s net gaming revenues. The Turkish-facing company and its associated business had gross assets of €21 million ($24.47 million) as of December 31, 2016 while its estimated earnings before interest, tax, depreciation, and amortization to be around €35 million ($40.77 million).

Both GVC and Ropso Malta agreed that the payment will be receivable on a monthly basis and in a span of five years. They also agreed that transitional service arrangements will take place for no longer than six months following the completion.