Empire Online, which markets websites, mainly gambling sites, is considering an IPO on the London Stock Exchange (LSE) at a company value of ₤550 million (about $1 billion). "The Sunday Times" reports that online poker group Tradal Ltd. is planning a flotation at this amount. The company declined to confirm the report to "Globes". Israeli businessman Noam Lanir, who founded Empire Online in 1998, told "Globes" that Empire Online was the parent company of Tradal, and that the company was considering various options for raising money.
"Online Casino News" also reports that Tradal is planning a flotation, and "Tradal plans for floatation prices to be competitive and perhaps discounted, compared to other online casino and gaming operators currently on the market."
Empire Online is registered in the Virgin Islands, is headquartered in Cyprus, and mainly operates in Europe. Although Lanir owns the bulk of the company's shares, it does not operate in Israel, and does not allow Israeli surfers to participate in its activities.
Empire Online markets gambling sites, including 888.com, CasinoOnNet, and Pacific Poker, owned by Cassava Enterprises (Gibraltar) Ltd., owned by Ari and Aharon Shaked and Shai and Ron Ben Yitzhak. Empire Online does not operate its own gambling sites, and has no gaming technology.
Investment bank Numis Securities Ltd. is advising Tradal on the flotation, and will probably handle the IPO if it is carried out. "The Sunday Times" reports that Numis Securities is also advising at least one other gaming site, Fireone, which runs an online payment service for betting sites. Knowledgeable sources said that Empire Online is profitable, with a turnover of tens of millions of dollars.
Jewish gaming tycoon Lord Leonard Steinberg has been appointed non-executive chairman of Tradal. He is well-known in London's Jewish community and a highly regarded figure in Britain's gambling industry. Steinberg recently sold most of his stake in Stanley Leisure, a casino operator that he founded and which is the source of his fortune. The British press speculates that he will invest in Tradal.
Lanir entered the gambling business in Israel as the marketing manager for Association for Well-being of Israel's Soldiers' 1997 lottery. In the late 1980s and early 1990s, he was a partner with clubber Ral Nadal in the Allenby 58 club and other clubs. Lanir is the son of Lt.-Col. Avi Lanir, an Air Force pilot shot down, captured and tortured to death during the 1973 Yom Kippur War.
Published by Globes [online], Israel business news - www.globes.co.il - on May 25, 2005