UK racecourse operator Northern Racing has received a takeover offer from an unnamed bidder which values the company at £70m – a figure well below the firm’s estimations of its worth.
The exclusive talks revealed that Northern Racing was worth a ‘price of no more than 200p per share’ – a valuation some £15m below predictions and prompting the company’s shares to take a tumble.
The Staffordshire-based company owns nine racecourses in the north of the country including Chepstow and Newcastle.
Media speculation has cited fellow racecourse owner Arena Leisure and the billionaire property investors David and Simon Reuben as possible bidders for the firm.
A combination of Arena and Northern would create a racecourse owner worth more than £300m and responsible for operating 16 racecourses.