MGM Stock Rebounds
American hotel and casino stocks rallied Thursday as the leisure industry continues to rebound after the downturn in travel since the terrorist attacks on Sept. 11.
Major hotel and casino stocks rose between 6 and 16 percent, compared with the Nasdaq's 4.6 percent gain. MGM Mirage (MGG), which was recently given an online casino license in the Isle of Man, surged 16.2 percent to $25.60.
MGM's stock closed Friday at $24.27. The 52-week range for the stock is 16.19 to $36.38. Analysts said the industry's recovery since the attacks may be encouraging investors.
"It's not that there's good news," Bjorn Hanson, head of the leisure group at PricewaterhouseCoopers told Reuters. "It's that the bad news isn't that bad."
PayPal Going Public
PayPal, the company many Internet gamblers rely on to pay for their gaming, is going public. The company, which with revenue of $19.9 million for the quarter ending in June and expenses of $33.9 million for the same period, does not make a profit.
The company's plans for expansion are based on $90 million it received from overseas banks this year, including $10 million from Providian of San Francisco. Its competitors are Citibank and Wells Fargo, which have launched similar services.
New Share Arrangement for Bentley
Bentley Communications Corp. (BTLY: OTCBB) has renegotiated the share agreement for its online casino, Sunrise City Casino. The original plan called for up to 50 million shares to be issued. Gordon Lee, CEO of the Dominica-licensed operator, said the new arrangement calls for only 4 million shares to be issued to prevent dilution of the stock.
Bentley is licensed to operate Internet gaming sites and sublicense software to people who want to build gaming sites.
Status Report from dot com
dot com Entertainment Group Inc. (DCEG: OTCBB) is predicting its 12th successive quarter of record earnings when it releases its third quarter results at the end of October.
During its third quarter, dot com launched two Internet bingo halls, www.bingomania.com and www.astrobingo.com, said Scott White, the company's president and CEO. dot com signed a deal with Everest Holdings Corp. in September; the bingo hall resulting from that agreement is due to launch in the first quarter of fiscal 2002.
Other third-quarter events for the Internet entertainment technology company include a new license and support arrangement with The Cyberbingo Corp. of St. John's, Antigua. dot com will supply Cyberbingo with its Java and Flash bingo games and its latest Windows downloadable bingo game.
The company will soon be getting royalties from its new licensees such as Victor Chandler's Rock International, which will be announcing the launch date for its dot com games in the upcoming weeks.
IGI and GIG Deal Nearing Completion
Interactive Systems Worldwide Inc. (ISWI) stands to receive a $600,000 bonus from Global Interactive Gaming for early delivery of its SportXction sports wagering system.
ISWI will get its bonus in two halves--the first is payable when Global Interactive Gaming uses the licensed software for a commercial purpose. The second part is to be paid no later than Feb. 1, 2002. ISWI is augmenting the software for use with interactive television so that Global Interactive Gaming can fulfill its recent contracts with Telewest Communications and ITV Digital.
CryptoLogic Conference Call
CryptoLogic Inc. (CRYP) will hold a conference call to discuss its third quarter results on Oct. 19 at 8:30 a.m. EST. To participate, dial 416-695-5801 or 1-800-478-9326
Report Released
Chartwell Technology Inc. (CWH: CNDX) released the results for its third quarter ending July 31. The Internet gaming technology provider said that while it does not expect to turn a profit for the fiscal year, its third quarter of 2001 represents its first profitable or break-even quarter.
Chartwell Technology (CWH: CNDX) - Third Quarter Report