Gala Bingo are looking to offload some of their bingo halls in an attempt to boost profits as they prepare for a potential rebranding.
Gala Bingo’s owner, Caledonia Investments, bought the bingo company in 2015 but is now seeking buyers for some of the sites, and is also offering some companies the option of purchasing excess space in other locations. They have already approached supermarkets Co-op and Nisa about whether they are interested in any of the Gala Bingo sites, as well as Gym Box and The Gym, and frozen foods store Farm Foods.
Gala Bingo’s operating profits fell by 5pc to £746,000 in 2015, but pre-tax profits dropped heavily from £40.9m in 2014 to £1.9m. This was almost completely due to payments from other group companies not being repeated. Caledonia Investments commented that Gala Bingo had “traded in line with our expectations at the time of the acquisition 18 months ago”.
The company is believed to be suffering from a fall in the number of bingo players who play at a hall – many players have instead moved online. Ladbrokes Coral owns the domains galabingo.com and galacasino.com, so if Gala are to move online, they will need to be rebranded. A source suggested that Gala are considering the name “Buzz Bingo”. The company refused to comment on the potential rebranding, but commented that “We regularly review opportunities to invest in our estate and create added value services for our customers. There may be occasions where clubs are considered for disposal but this will be on a case-by-case basis.”
Sources: The Business Desk, The Telegraph
Image Source: Bingotastic