Gambling firm GVC sees 2016 gaming revenue ahead of estimate

(Reuters) - Gambling company GVC Holdings Plc (GVC.L) said it expected full-year net gaming revenue to rise about 9 percent, slightly ahead of its previous estimate, on strong fourth-quarter trading.

Shares in the company were up 4.5 percent at 644 pence at 0838 GMT, making them one of the top performers on FTSE mid cap (.FTMC) index.

GVC, which bought Bwin for 1.1 billion pounds in September 2015 after a heated bidding war with 888 Holdings Plc (888.L), said it expected pro-forma group net gaming revenue to rise to 894 million euros ($964.80 million) for the year ended Dec. 31, 2016 from 822 million euros reported a year earlier.

GVC, whose brands include Sportingbet and Betboo, said it expects group clean EBITDA to be towards the upper end of the market expectation range of 202.7-205.5 million euros.

The company posted a 7 percent increase in net gaming revenue per day for the fourth quarter as international business helped it offset the impact of "punter friendly" sports results in the UK.

GVC said on Thursday that it has fully repaid an outstanding loan of 386 million euros provided by Cerberus Business Finance LLC, saving nearly 40 million euros in interest for 2017.

"The positive trading momentum experienced in 2016 has continued with a particularly strong start to 2017," Chief Executive Kenneth Alexander said in a statement.

(Reporting by Rahul B in Bengaluru; Editing by Amrutha Gayathri and Sunil Nair)