Sport is made for betting

No surprise to learn today that IG Index are writing off the value of Extrabet and starting on redundancy deals for their staff. As predicted here 10 months ago , the £20m they were hoping for was simply ridiculous. £7.75m being written off including that highly measurable asset 'goodwill'. No loss to the industry at all, very few people will even notice they are gone.

When a spread betting firm makes a big deal about setting up a fixed-odds sportsbook arm, then wants to get rid of it, chances are it's not making any money. IG Group to sell Extrabet Financial spread betting business IG Group has recruited accountants PricewaterhouseCoopers to find a buyer for its sports betting arm Extrabet, media reports at the weekend have suggested. Extrabet accounts for an estimated 2% of IG Group’s overall revenues, however the business values the division at around £20m, the Sunday Times reported. Analysts have previously questioned whether the business, which suffered a fall in revenue of more than 30% last year, is worth much. IG Group and PwC both declined to comment. I'd have to agree with the last comment. Extrabet's client list is common with the spread side of the business, and one has to wonder how many genuine fixed-odds punters there are, rather than occasional dabblers. Extrabet's sports prices are all powered by the powerfu...