British racing to benefit from Tote sale

Conservative estimates that the British government's sale of the Tote gambling group will realise around £100 million in net profit will see the British horseracing industry benefitting by £50 million, according to reports in the UK media as the week ended.

The cash bonanza would flow from the government's undertaking to donate half the net profits of such a sale to the industry, a promise confirmed in a recent official statement that read: "in the event that the Tote is sold on the open market, it (the government) will honour the commitment of the previous government to share 50% of the net cash proceeds of sale with racing."

The British Horseracing Authority has greeted the confirmation with enthusiasm, with chairman Paul Roy telling media this week: "Racing welcomes the Government's latest steps in resolving the future of the Tote, and particularly that Racing interests are central to a successful outcome. We look forward to continuing to work closely with Government to get the best outcome for the sport."

The short-list of acceptable bidders is currently awaited from the government's agents in the sell-off initiative, with bidders said to include the Reuben Brothers, Betfred, at least one private equity group and Gala Coral.

Source: InfoPowa News