Blanketstacker
03 Jul 2018
Latest PTEC news and commentary Bowman: The valuation may look more attractive but a bid looks very unlikely I think this may be the key part of the Bell commentary.
Bowman
03 Jul 2018
Latest PTEC news and commentary A extract from a Citywire email I received this morning. Playtech could be bid target after profits alert, says AJ Bell Playtech (PTEC) plunged to a four-year low after the gambling technology provider issued a profit warning in response to a price war in Asia. Shares in the Isle of Man company tumbled 23%, or 171p, to 581p after aggressive pricing by new entrants to its Asia market caused revenues to fall. AJ Bell analyst Russ Mould said this was ‘a serious issue because Asia is one of Playtech’s most important regions from an earnings perspective’. He said it was no wonder the company had tried to diversify geographically with the recent acquisition of a 70.6% stake in Italian betting firm Snaitech (SNAI.MI). ‘Sentiment is likely to stay negative towards Playtech until it can provide more clarity of the scale of the problems in Asia and how it is going to address them,’ said Mould. ‘The business has historically been very acquisitive but could the tables now turn and Playtech be seen as a takeover target? The valuation may look more attractive but a bid looks very unlikely unless a predator can find a solution to the company’s Asian problems,’ he added. Maybe GVC could be interested!
Bowman
03 Jul 2018
Latest PTEC news and commentary Maybe he thinks that post-Brexit there is going to be a massive influx of Companies and personnel into Germany from the UK as all the disgruntled Remoaners flee the sinking ship and prefer being in a new dictatorial empire. This combined with all the extra economic migrants coming from elsewhere and the return of EU workers who no longer see an advantage in working here, would put extra pressure on the real estate supply.
Gamesinvestor1
03 Jul 2018
Latest PTEC news and commentary Bow, Interesting that the founder has continued to sell shares in the company to invest in German Real Estate – I wonder if he is just making a lifestyle decision or he seriously sees the betting industry getting flattened by regulation? Bit the late for the German property bet methinks, that opportunity was 15 years ago. Games
Bowman
03 Jul 2018
Latest PTEC news and commentary @Gamesinvestor1, Sorry for not replying earlier. I saw your post this morning, but I was away from home and it was not so easy to reply. I do not feel the business is toast but I am concerned about how long it will take the Company to recover. The difficult decision at this point is can one find something that will perform better from here to use as a replacement if one were to sell out, and will the sp plateau or continue to drop. We have recovered quite a bit of ground from the low of the day. I have made money (or at least significantly reduced my loss) before from this type of scenario, where the initial market reaction is exaggerated. I have then bought and ridden the recovery, even though it is not a complete one. We have dropped a long way over the past year, and the the SP appeared to be struggling even before today’s announcement. Although looking at the numbers, and considering the current takeover action my feeling is these has been an over-reaction and there is a chance we will return to the 700 level. I am prepared to give it a few days to settle down and if I see a sign of a recovery it might induce me to act.any sign of a ptec 2.png2812x2054 134 KB ptec 3.png2812x2054 113 KB
Gamesinvestor1
02 Jul 2018
Latest PTEC news and commentary Bow, you planning to sell out everything? You think the business is toast? It looks like it’s getting into bargain territory right now unless there is a fundamental problem with their software. Haven’t researched this at all yet, but it looks overall an attractive business and with still a well covered divi even after the profit dip, albeit the 2nd since last year. Games
Bowman
02 Jul 2018
Trading Update Currently down 26%. I am so glad that I halved my holding back in May, but with hindsight I should really have disposed of the entire holding. I now have to hope that we will recover somewhat from the current position so that I can dispose of the rest at a smaller loss, although there is little sign of that at the moment since it just keeps falling. ptec.png2812x2054 111 KB
Bowman
02 Jul 2018
Trading Update PTEC issued a Trading Update RNS this morning. It does not look particularly good, and the market does not like it, with the SP currently down about 15%
Bowman
22 Jun 2018
Acquisition of Snaitech S.p.A I see that Consob, the supervisory authority for the Italian financial market, has approved the mandatory takeover offer from Playtech for the remaining shares of Snaitech not owned by the Group. Currently Playtech holds almost 81.0 per cent. of the issued share capital of Snaitech. Italian approval RNS
claude reins
25 May 2018
GVC Trading Update today presents new opportunity From the GVC Trading Update:GVC and Playtech plc ("Playtech"
are in discussions to update the existing services agreement between the two companies, in order to secure a long-term mutually beneficial relationship. This would allow Playtech access to new significant brands, revenue streams and secure long term revenues, whilst providing GVC operational flexibility to realise its synergies plan. In the meantime, GVC will continue to honour the existing Playtech contract and maintain the positive working relationship.
okgetreal
13 Apr 2018
Re: Major shareholder doubles holding They had a good stake in Labrokes from what I recall as well so that has proved a good investment and potentially brings them closer to BBC. I have been adding and am very pleased, We'll soon be back above £10 with the founder overhang less than it ever was. Upwards and onwards, cash generation is king.
claude reins
07 Mar 2018
Major shareholder doubles holding T. Rowe Price Associates, Inc. doubled holding form 5% to 10%. Signifcance? NB Morgan Stanley have been reducing their shareholding slowly recently. Possibly cross-link.On another front, their has not been much activity on the M&A front recently. I dont know whether the recent broker forecasts which still say that the target is well above the current SP - they say 930-1070 - and it is generally a buy are the be believed. They have tuended to talk up the share for quite some time with a biggish gap between current and target. However, they have a war chest of around 750-800m Euros - made up of free cash and readily saleable investments (in companies like Plus 500 which they should have bought at 400p in 2015 and now stand at 1100p). Shareholders are probably getting a bit weary of Playtech losing its way a bit. It used to stand head and shoulders above others. Now after losing 2 opportunities in 2015, Plus 500 and anothr in Ireland, they have had significant losses in Asia/Malaysia and the Sun Bingo has been a disaster. Not like this company at all. However, I keep the faith, and await the next sunrise! But soon please!
sharegardener
03 Nov 2017
Re: Just looking sorry, the links got mixed upwww.theguardian.com/business/2017/nov/02/playtech-sun-bingo-fobts-profit-warning[link]
sharegardener
03 Nov 2017
Re: Just looking Hardboy and any holders -Ive been holding here for a while but in retrospect should have taken some profits at the £10ish top.PTEC sell the software that runs the apps for the big UK gambling Co's sports betting offerings eg ladbroke/coral, betfred, paddypower, bet365, skybet. They also have on line casino and gaming software companies across European regulated markets. They have invested heavily in 'omnichannel' and 'single wallet' products for in game betting etc and they do the controversial FOBT machines. The slide presentation for the 17 interims gives an overview.Teddi Saggi has sold off a large part of his previous large stake to buy Camden Market.The 'below expectations' profit warning this week has some links to the Sun Bingo contract as well as trouble in the 'unregulated' markets in Asia. It isnt totally clear where profit comes from on the 'unregulated' side but PTEC operate via licences out of the Phillipines but may indirectly have problems in Malaysia and China.[link] Stanley''The company attributes the majority of the downgrade to "a recent slowdown in certain parts of Asia" due to recent changing market conditions. While the statement does not specify the cause, we have spoken to the company and understand this largely relates to its Asia business ex-China. Asia is c.40% of Playtech's gaming business, and we estimate China is the majority of this (around 33% of gaming revenue). It says that it had expected that activity would return to normalised levels in a relatively short timeframe, but it is now not expecting any significant improvement in 2017. The company also highlights continued challenges with the Sun Bingo contract, which may amount to ~€5m greater losses than our previous estimate of €20m of losses. Although Asian revenue concentration is a known risk, and to some extent reflected in the significant valuation discount (60-70%) to its closest peers, this is clearly a very disappointing update, and the opacity of the situation will heighten investor concerns around the Asian business, particularly in the wake of the selldown of its founder and majority shareholder. We see Playtech as a well positioned business in a structural growth industry and our recent work detailed the sustainability of organic growth in its developed markets (which the statement says remained strong), but this will provide little comfort until greater clarity is achieved. We rate the stock Overweight with a 1400p price target.''Presumably they will be off to Riga on the capital markets trip!PTEC also run a Financials division which is growing (includes CFH, tradetech and recently acquired ACM ).Overall, my impression is that they have strong IP advantages and any in-house software team would struggle to match their products. Also, on-line gaming & gambling (especially the in-match betting) is still growing as mobile phones get to do more fancy things. The fintech products give more diversification.DYOR etc SG
claude reins
03 Nov 2017
Re: I agree with your sentiment. Overreaction. Just looking at other shares this morning, Lonmin after a structural review is wondering whether it has enough money to continue in business! The shares have fallen by a mere 20% or so. Playtech come out with this statement and they get a 25% hit. As you say, a good time to add. It is just a question of looking at what silly price the shares may fall to to offer the best opportunity!
