27
JAN

Gala Bingo In the Financial News Again

Written by: Nikola Zugic on 27/01/2010 11:16

Gala Bingo (Coral) has been featuring in financial news for interminably long time now. It seems as though this company is never out of financial difficulty and it almost seems to me that critical mass ahs been reached and they have no idea how to grow the business to keep it viable. However, in order to continue with operations, (they are the biggest bingo provider in the UK), they need to refinances and convert debt into equity. They have been approached by Harrahs from the US and all sorts of rumours have been going around. But it looks as though they are not about to sell out to a US operator and will be speaking with their UK bankers to exchange mezzanine debt for equity by means of a rights issue.

If you understand any of this, good for you, if you don’t, who cares. What it really means is that Gala will have £2 billion debt instead of £2.5, and how this is going to make a difference I have no idea. They will continue to be financial newsmakers until such time as something really dramatic happens.

Personally, I really wish that Gala Bingo would do something to their online bingo site. It has the prizes and stuff like that, but it really doesn’t cry out to me “play here” I don’t know if you feel the same way. They can’t possibly be trying to save money; I mean if you are already 2.5 billion in debt, what difference is a bit of expenditure to your online bingo site going to do to the bottom line? They have some nice offers going at the moment, so take a look at the site and if you like it, try it, Gala Bingo are not going anywhere soon.

Categorised Under: Bingo News,
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