GVC Ladbrokes Coral Merger Could Cost 1,600 Jobs
The proposed merger between GVC Holdings and Ladbrokes Coral Group could mean the loss of 1,600 jobs and could represent a 5% cut in the overall combined workforce.
According to the Times CEO of Ladbrokes Jim Mullen will be one of the senior figures to leave the company as a result of the merger. CEO of GVC Holdings Kenny Alexander is set to keep his role and Paul Bowtell of Ladbrokes win become new CFO.
The proposed merger which is valued at £4bn has yet to be approved by the UK Competition and Markets Authority (CMA) who stated last week that they will investigating the proposed merger as it could result in a “ substantial lessening of competition” in the UK market.
Positive news for Ladbrokes Coral group was that they recorded a 12% increase in revenues for Q4 of 2017 and that the proposed merger shall not affect Ladbrokes Coral retail outlets.
The exact amount of the cost to GVC if the merger goes ahead is dependent on the much anticipated government decision on limiting the fixed odds betting terminal stakes which could be slashed from £100 to £2. If this cut comes into effect the deal could be cut by around £800m.