The dawn of the 21st century has seen gaming companies become recommended stock market investments, something denied them before, as it has taken almost 50 years for gaming enterprises to consolidate into being accepted as secure financial businesses. This is hardly surprising as financial entities are notoriously conservative, even when taking a gamble on stocks and shares.

Gaming business, however, has little to do with speculation as it has its foundations set firmly in the intellectual and physical security of its products and systems. To this is added the extensive preparation of its executives with both expertise and training in the specialised disciplines. Companies such as Codere of Spain can therefore make the leap to becoming a listed company at the vanguard of the young industry.

The previous delayed stock market listings of Codere can now be put aside as the company has advanced its debut on the Madrid bourse. Yesterday the price of the offer was fixed at €21 and today the institutions that have decided to acquire a little over 20% of Codere must confirm their purchase when the shares are allocated.

The anxiously awaited debut on the stock exchange will be tomorrow, one week earlier than expected. Capitalisation is anticipated to be within the range €1.15 million to €1.43 million. So far analysts have been positive about the IPO, calling Codere an attractive proposition with a fixed client base and with strong and predetermined profit margins.

According to the president of Codere, Jose Antonio Martinez, the company will utilise the funds obtained from its stock exchange listing to pay for its 49% purchase of Mexico’s ICELA and for future growth. Codere has not ruled out further purchases in Spain and Italy. The company presently operates over 49,300 gaming terminals in 124 bingo halls, 56 betting shops, 2 racetracks and 5 casinos in Spain, Italy, Argentina, Brazil, Colombia, Mexico, Panama and Uruguay. (E-10.18.07)

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