Ladbrokes, the betting arm of UK-based Hilton Group, is believed to be considering a bid for Rank Group – the £2.5bn owner of Mecca Bingo and Grosvenor Casinos.

The news follows Friday’s announcement that Hilton is in talks to sell its hotel business – Hilton International – to US-based Hilton Hotels Corporation (HHC) for £3.6bn.

Meanwhile, several leading private equity firms are understood to be preparing offers for Ladbrokes, which is worth about £3.7bn, according to The Sunday Times.

Should the Hilton International sale go-ahead, it is likely that a standalone Ladbrokes would be the UK’s largest betting operator.

The deal, which would re-unify the Hilton brand after its split in 1964, could take several weeks. A spokesperson for Hilton said there was no further update since Friday’s announcement.