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According to reports the Sunday Times, Reuters and the news magazine of the Financial Times, are the two largest online gambling companies, PartyGaming Plc and 888 Holdings Plc, the first talks concerning a possible merger of the two providers.
PartyGaming and 888 Holdings, and its market leading poker room Party Poker and Pacific Poker, had since the U.S. port acts, which the “Unlawful Internet Gambling Enforcement Act of 2006″, bitter setbacks suffered since both companies because of by the new legal situation situation resulting from the U.S. market had to withdraw. The 888 online casino with his trademark “Casino-on-Net” was also affected by this situation and had heavy losses.
A merger would make the penetrating power of the joint entity significantly increase because the merger would lead to the new site alone by the high number of players and offer the game in general, an enormously attractive. PartyPoker had in the past through its aggressive marketing and the rapid growth of a legendary reputation and profits from its market position, of course, still, after the bomb burst in the U.S. and for some restlessness in the gambling business has ensured.
Party Poker has already announced that the interim dividend to the investors will not be paid and thus about 100 million U.S. dollars in addition to the acquisition of other business areas are available. Two months ago had PartyPoker for 100 million pounds the sports betting provider Games bookers acquired and there was speculation that the acquisition of another competitor, Games, was planned. Previously, there were unfounded rumors that PartyPoker an eye on the Victor Chandler Group of Companies would be thrown out in the PartyPoker, resident in Gibraltar. Victor Chandler claimed afterwards that it never would have been such discussions.
The 888 Holding denied that interest in a takeover of UKBetting would have existed. For UK Betting is a smaller, in the UK publicly traded, a provider of online gambling. UK Betting, however, confirmed that from different vendors received offers for takeover.
In the Sunday Times were still other companies, which in search of potential partners. These include: Sporting bet (owner of Paradise Poker), Excapsa and BWin.
There are still a large number of smaller, independent providers in today’s gaming market and it seems certain that in 2007 the number of independent providers rapidly narrowing, because the major players through acquisitions and acquisitions to grow. The smaller players are likely in the future either swallowed or have with the enormous pressure live by the large, poker sellers on the industry is exercised.
The race to the European and Asian markets has begun.