As reported by: Bloomberg News
888 Holdings Plc, the world's largest Internet casino operator, sold shares worth 147.7 million pounds ($261 million) in an initial public offering to fund expansion.

The company sold 84.4 million shares at 175 pence each, less than 888 Holdings first expected, Chief Executive John Anderson said in an interview. The shares went on sale for 162 pence to 212 pence apiece.

888 Holdings' rivals include PartyGaming Plc, whose shares have slumped 39 percent since the company said earlier this month that growth is slowing. Casino gaming accounted for about two-thirds of 888's first-half sales, with the rest coming from its online poker business.

"There is a clear reason for what one could argue is conservative pricing and that is they're taking notice of the price and volatility of PartyGaming," said Bob Parker, deputy chairman of Credit Suisse Asset Management in London, which oversees $335 billion. Parker didn't buy any 888 shares.

Shares of 888 Holdings climbed 3 pence, or 1.7 percent, to 172 pence at 9:24 a.m. in London. They rose to as much as 183 pence.

PartyGaming raised 907 million pounds by selling shares in June for 116 pence apiece. The stock was trading at 96.75 pence in London today, 17 percent lower than the IPO price.
Article By: Bloomberg News