Sportingbet shares fall after Ladbrokes ends bid talks

Shares in online gambling firm Sportingbet have plunged almost 20% after Ladbrokes said it was ending takeover talks.

Ladbrokes was widely reported to have regulatory concerns about Sportingbet's business in Turkey, where online gambling is illegal.

Sportingbet had been in separate talks to sell its Turkish business ahead of being bought by Ladbrokes.

It said these discussions with German firm GVC were continuing.

Ladbrokes said: "The potential benefits and risks associated with a combination with Sportingbet were clear to us from the outset and have been well covered by the market.

"Having completed our analysis we have been unable to agree a structure which delivers increased shareholder value within an acceptable regulatory environment. We have therefore agreed to end our discussions."