Corvus buys into Global Gaming

27/06/2006 Robert Tyerman

Financier Andrew Regan's Corvus Capital has bought 26 per cent of Global Gaming Technologies, which is seeking a new boss.

Geneva-based Corvus, Regan's vehicle for several strategic quoted and unquoted investments, has bought 48.7 million shares in fellow AIM counter Global Gaming from Global's chief executive Paul Pullinger, non-executive Chris Cleverly and former director Dominic Johnson. Corvus paid 0.375p a share, a hefty discount to Global's already depressed 1.63p price, which has today fallen again to 1.38p.

Pullinger and Cleverly have resigned from Global today and chairman Ron Trenter says the company, which floated on AIM in 2004, is looking for a new chief executive. Professing to be 'delighted' with Corvus' investment, Trenter says Global started with the goal of 'providing enabling technologies in the gaming sector', but has now decided to 're-establish' its strategy 'with the specific aim of acquiring additional complementary businesses'.

That is an area where the previously controversial Regan's experience would be relevant.

Global's shares, which reached 11.25p in early 2005, have fallen below 1.4p on disappointment at the discount paid by Corvus, whose own shares have slipped by 9.25p today to 14p.

Regan undoubtedly has some ideas for Global. Shareholders must hope they are the right ones.