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Satellite broadcaster Sky has sold a majority stake in Sky Bet, valuing the gambling operation at ₤ 800m.

The Leeds-based operation, that includes websites such as Sky Vegas and Sky Bingo, is being bought by private equity group CVC Capital Partners., external

Sky will be paid ₤ 600m when the bet9ja's welcome offer is finished next year and will keep a 20% stake.

Betting and gaming was not concerned as part of Sky's core service, a spokesperson said.

The sale would enable it to focus on the "considerable development chances" in pay-tv in the 5 European markets it operated in, Sky stated.

The business recently completed the acquisition of Sky Italia and a 90% stake in Sky Deutschland, bringing its customer base to 20 million across Britain, Ireland, Germany, Austria and Italy.

Jeremy Darroch, president of Sky, said the yohaig code sale understood "considerable worth" for investors.

Shares in Sky increased 1.2% to 938p in London, valuing the business at simply over ₤ 16bn. The stock has actually risen by almost 20% in the past 12 months.

'Successful asset'

Analysts at Citi stated Sky could utilize a few of the proceeds to buy out the staying minority shareholders in Germany, including: "We believe a sale of Sky Bet is a practical strategic move."

Investec explained Sky Bet is a "non-core but highly successful asset" and said proceeds should help the company pay down debt, which was anticipated to be ₤ 6.3 bn for the 2015 fiscal year.

CVC, which has had an interest in the betting and video gaming sector with stakes in companies such as William Hill and IG Group, shopped Betfair last year in a ₤ 1bn deal. However, the two companies stopped working to agree on cost.

the yohaig code personal equity group controls the Formula One motor racing company.

Sky Bet will stay in Leeds with all staff transferring to the yohaig code new entity.

The company created net revenues of ₤ 182m in the year to June 30 and of ₤ 50m.

Sky has struck a long-lasting brand licence arrangement with Sky Bet.

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