Rumors Say Desmond to Sell Health Lottery for GBP100 million

Rumor has it Playtech and Vincent Tan are interested in buying the Health Lottery.

Richard Desmond, owner of the Health Lottery, is looking to sell his company for over GBP100 million. According to the latest gambling news, the English businessman has already been approached by a number of potential customers.

Vincent Tan, who owns Premier League football club Cardiff City, and online casino software supplier Playtech are said to be among them. Desmond, who also owns Channel 5, estimates the company’s worth over GBP100 million, considering the challenge it will pose for the National Lottery to renew its license under British gambling laws.

The Health Lottery recently announced its intentions to enter the online gambling market, by launching the new Health Bingo website.

National Lottery fears competition

Desmond’s company has been around since 2011. Before that, the UK National Lottery had no competition. Both operators donate some of their revenue to charities, but the state lottery is a bigger contributor.

In 2012, National Lottery operator Camelot tried to block its rival in court and have its gambling license revoked. The company lost the battle and did not appeal the decision. However, it obtained an extension to its contract which allows it to operate until 2023.

Some financial experts have speculated that Desmond does not really intend to sell the lottery, but is in fact trying to demonstrate its market value, as plans of expansion are being put together.