Online Casino Transfer: News - Resolution Needed before Mergers

09/04/2010		Online Casino Style: News Resolution Needed Before Mergers
Home History Games News Dictionary		A fascinating article include in this week’s edition of Reuters news, which hypothesized to the future of the online gambling companies next big mergers. The piece reflected upon the recent union of industry giants Bwin Interactive and Party Gaming, and went on to opine that the next major move could come courtesy of two other huge UK firms, with 888.com and Sportingbet apparently considering the advantages of seeking out a merge-partner. The move would be contingent, however, on the legalization and status of the internet gambling market in the United States, as both companies have circumstances to resolve with American feds to be eligible for possible licensing. The Reuters article points out that the negotiations between Bwin and Party Gaming were only able to come to a successful conclusion with the resolution of a settlement between Party and US authorities, with a payment by the former of $105 million to get back in good standing.. Right now, 888.com and Sportingbet are in limbo with US authorities, and until a resolution can be had, they’ll be unlikely to find partners clamoring for a deal. With legalization for online gambling on the horizon for the US, the importance of being able to operate in potentially the world’s most lucrative market is tantamount to business strategy; without permission to service US customers, there’s no point in partnering up with even strong brands such as 888 or Sportingbet. "There are a lot of people out there who would like to buy Sportingbet,” said Nick Batram, an industry analyst from KBC Peel Hunt. “The value in that business is in its very strong market position in Australia. Bwin isn't in Australia to any degree, while Ladbrokes and William Hill are not sizeable in Australia. If 888 is still on the market by the time that Bwin and Party do their stuff, it's an obvious one for them because they both use 888 as a supplier.”

09/04/2010

Online Casino Style: News
Resolution Needed Before Mergers

A fascinating article include in this week’s edition of Reuters news, which hypothesized to the future of the online gambling companies next big mergers. The piece reflected upon the recent union of industry giants Bwin Interactive and Party Gaming, and went on to opine that the next major move could come courtesy of two other huge UK firms, with 888.com and Sportingbet apparently considering the advantages of seeking out a merge-partner.

The move would be contingent, however, on the legalization and status of the internet gambling market in the United States, as both companies have circumstances to resolve with American feds to be eligible for possible licensing. The Reuters article points out that the negotiations between Bwin and Party Gaming were only able to come to a successful conclusion with the resolution of a settlement between Party and US authorities, with a payment by the former of $105 million to get back in good standing..

Right now, 888.com and Sportingbet are in limbo with US authorities, and until a resolution can be had, they’ll be unlikely to find partners clamoring for a deal. With legalization for online gambling on the horizon for the US, the importance of being able to operate in potentially the world’s most lucrative market is tantamount to business strategy; without permission to service US customers, there’s no point in partnering up with even strong brands such as 888 or Sportingbet.

"There are a lot of people out there who would like to buy Sportingbet,” said Nick Batram, an industry analyst from KBC Peel Hunt. “The value in that business is in its very strong market position in Australia. Bwin isn't in Australia to any degree, while Ladbrokes and William Hill are not sizeable in Australia. If 888 is still on the market by the time that Bwin and Party do their stuff, it's an obvious one for them because they both use 888 as a supplier.”