bwin Converting Convertible Loan Note in betbull; betbull Taking Full Ownership in Betbull Bwin Espana S.A.

betbull Holding SE ('betbull') and bwin Interactive Entertainment AG ('bwin') agreed to the conversion of the 2,500,000 EUR convertible loan note of betbull issued to bwin on 9 November 2007 into 1,250,000 ordinary shares of EUR 1 in betbull ('Ordinary Shares'). bwin and betbull have also agreed to the transfer of bwin's 49% share in Betbull Bwin Espana S.A. ('BBE') to betbull in exchange for the issue of 1,101,124 Ordinary Shares in accordance with their agreement on 9 November 2007 when setting up and funding BBE. Following this transfer betbull owns the entire issued share capital of BBE.

Following the above share issues, betbull's issued share capital has increased by 2,351,124 Ordinary Shares to 10,914,624 Ordinary Shares. bwin's overall shareholding in betbull now amounts to 4,036,141 shares representing 36.98% of the currently issued ordinary share capital of betbull.

Commenting on today's release Simon Bold, Director of betbull Holding SE added:

'The convertible loan note and bwin's participation as a stake holder in BBE have enabled initial development of the Madrid venture and the objectives of those financial structures have been satisfied. The restructuring serves to regularise and tidy up the setup of the two companies, bringing all retail activities into the betbull group. bwin continues to support betbull as the major stake holder with just short of 37% of total shareholding.'