PADDY POWER and Betfair are set to merge in a move that will see them become one of the world’s biggest online betting and gaming companies.
The Irish bookmakers - often known for its controversial advertising campaigns - will join forces with London-based Betfair, an online betting exchange company.
But the move will retain the "distinctive and complementary" Betfair and Paddy Power brands in Europe.
Under the terms of the deal, Paddy Power shareholders would own 52 per cent of the company, with Betfair shareholders owning 48 per cent.
The combined business would have annual revenues of around £1.1billion.
Final details are yet to be agreed between the parties and discussions are on-going, Paddy Power confirmed in a statement today.
Betfair’s Chief Executive Breon Corcoran, who previously worked for Paddy Power, will lead the company.
Paddy Power Chairman, Gary McGann, will chair the new company whilst its Chief Executive, Andy McCue, will be Chief Operating Officer.
The merged company is also considering opportunities to grow the brands internationally with plans to expand in Europe as well as to the US and Australia.
“The combination has compelling strategic logic and represents an attractive opportunity for both companies to enhance their position in online betting and gaming and to deliver synergies, customer benefits and shareholder value," Paddy Power and Betfair said in statement today.
The deal has been announced a month after Ladbrokes and Gala Coral agreed a deal to create Britain’s biggest bookmaker.
