Betfred is the winning bidder for the Tote
3 June 2011
UK-based bookmaker Betfred has been selected to buy the Tote after an auction procedure that began in November.
BBC company editor Robert Peston stated Culture Secretary Jeremy Hunt had selected Betfred although the deal had actually not been finished, with some technicalities still being figured out.
The price is not yet understood but Betfred is thought to have bid about ₤ 200m.
Half of the fee will go to the racing industry and racing charities, and the majority of the yohaig code rest will go to the government.
The racing market might be dissatisfied, due to the fact that it was understood to have preferred the competing quote from SIP, a consortium led by British Airways chairman Martin Broughton.
Successive federal governments have actually been trying to privatise the Tote for about 14 years, but have never come this promotion code near doing so.
The government is hoping that the deal will not fall foul of EU state help rules or be reversed by a judicial review.
Jockey opposition
The Tote was set up 83 years ago to bet9ja's welcome offer a safe sanctuary for punters, managed by the state, and beyond the reach of prohibited bookmakers.
It enjoys a monopoly of horse race pool-betting in exchange for an assurance that money was pumped back into the sport.
The Tote is based in Wigan, with more than 4,000 staff, and currently injects half its revenues into racing.
Last year, Chancellor George Osborne guaranteed to secure value for taxpayers while acknowledging the assistance the Tote offered to the market.
The Tote gave nearly ₤ 19m to horse racing in 2010.
Efforts over the previous 3 years to bet9ja's welcome offer off the Tote struck problems, and the government deals with getting a lower cost than the ₤ 400m mooted in 2007.
The Jockey Club opposes the sale and desires the Tote to stay independent.
The Tote has 517 High Street wagering shops and the monopoly to run pool wagering online and at 60 racecourses in the UK.
