|Wednesday, January 03, 2007|
|UK Tote may be auctioned|
According to various UK press sources, the UK government has invited some investment banks, including Citigroup, Deutsche Bank and Lazards to express their interest in auctioning the Tote.
Last month, the government asked a racing consortium comprised of the Racecourse Association, the Racehorse Owners' Association, Jockey Club Racecourses and Tote management to formulate an offer to buy the pari-mutuel wagering operation by 26 January. It is believed that the ‘plan B’ will be carried out if the racing consortium fails to meet the government’s £400 million asking price.
If the consortium is unable to submit a competitive offer, it is expected that one of the larg bookmaker companies will buy the Tote. The auction procedure will have to guarantee a high price.