British betting and gaming company Ladbrokes plc has agreed on a merger deal with its former rival Gala Coral, the companies announced on Friday, July 24. The operation will lead to the creation of a $3.4 billion business to be carried under a new company named Ladbrokes Coral.
Ladbrokes' current shareholders will own 51.75 percent of the new business, while Gala Coral's shareholders — which include private equity funds Anchorage Capital Partners and Apollo Global Management — will control the remaining 48.25 percent.
As announced on Friday, the new company will be led by Jim Mullen, who currently serves as Chief Executive Officer for Ladbrokes and will keep today's Gala Coral Chief Executive Officer Carl Leaver as Deputy Chairman for at least 12 months.