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Cassava CEO Expects Big Win from Float

UNITED KINGDOM – As reported by the UK Times: "The chief executive of Cassava Enterprises, the Gibraltar-based internet gambling operator behind 888.com, looks set to pocket up to $60 million (£35 million) when the company floats on the London Stock Exchange as early as next month.

"The disclosure will re-ignite the issue of corporate rewards in the gambling industry after the huge payouts to the board of PartyGaming, the world's biggest internet poker company, when it floated in London at the end of June. John Anderson, who also runs Burford, the property group, is understood to be sitting on a potential stake of as much as 4 per cent in Cassava when it pursues an initial public offering (IPO).

"The IPO, which analysts believe could take place as early as next month, is expected to value the company at more than $1.5 billion (£850 million). It is tipped to deliver earnings before interest, tax, depreciation and amortisation (ebitda) of about $70 million this year. Cassava recently appointed HSBC to advise on its strategic options and the success of PartyGaming's recent £4.64 billion IPO is expected to provide the impetus for the company to take the same route.

"…The biggest winners from Cassava's IPO will be the two pairs of Israeli brothers who founded the company seven years ago. Avi and Aaron Shaked have a stake of about 70 per cent, while a family trust controlled by Shay and Ron Ben-Yitzhak has about 20 per cent…"

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