bwin Shares Dip 11 Percent on Q3 Trading Update
Shares in bwin dipped 11 percent in Vienna Thursday on the release of the company's third-quarter trading update. The company reduced net loss by 77 percent to 5.1 million euros from 22.6 million euros during the previous-year period, and gross gaming revenue was up 20 percent to 86.2 million euros, excluding U.S. and Turkish operations. The company left the United States in 2006 after the Unlawful Internet Gambling Enforcement Act was enacted, Turkey, in March. Click here for the full story.
Four-Month Trading Update, Executive Rumors Hurt Ladbrokes on LSE
The London Times reported that William Hill recently approached Ladbrokes Finance Director Brian Wallace about the chief executive's post vacated by David Harding at the end of September. According to the paper, Wallace made to the final shortlist of two candidates, and was about to be offered the job, but withdrew for reasons unkown. In related news, according to the company's four-month trading update, high-roller telephone gamblers helped it to nearly double its profit, which offset a disappointing run of football results, tighter sports betting margins and horse racing cancellations. Shares in the company were down 35.50p, or 9.35 percent, to 344.00 on the news.
The next day, the Times reported that Ladbrokes CEO Chris Bell "claimed boardroom relations had 'never been better' despite the revelation that the bookmaker's recently appointed finance director had considered defecting to William Hill." Bell confirmed with the paper Thursday that Brian Wallace had indeed been approached about the vacant chief executive's post at its rival. "He (Wallace) had an approach and he looked at it," said Bell. "He could have taken it but he chose to stay, which is an accolade to Ladbrokes."
bwin Catches Pretty Big Waive
bwin said Friday, Nov. 9, that it has agreed to defer the 83 million euros owed to the majority vendors of Ongame under the terms of the December 2005 acquisition. The settlement will waive 79.9 million euros -- of the 473 million euro acquisition cost -- in return for a 29 percent share of bwin's U.S. revenue over the next five years, should bwin choose to re-commence its U.S. operations.
Juniper Expects Multi-Billion Future for Mobile
Mobile research firm Juniper expects total annual wager on mobile casino services to exceed $5 billion by 2012. According to its latest report, global gross win from mobile casino services will rise from less than $5 million to $133 million by 2012. The forecast was not as rosy for the United Kingdom, however, with the firm predicting the country's share in total wager on mobile casino services -- which currently sits at 60 percent -- is likely to fall to less than 20 percent by 2012 as "adoption accelerates elsewhere."
Iovation Receives $15 Million Intel-ligent Investment
As part of a $15 million round of funding, online security solutions provider Iovation has received a $10 million investment from Intel Capital, the investment arm of the Santa Clara, Calif.-based technology giant. "The importance of security and fraud protection on the Internet cannot be overvalued," said Arvind Sodhani, president of Intel Capital. "This market segment must stay one step ahead of businesses needs and our investment should go a long way toward helping Iovation provide meaningful security benefits."
A Lucrative Case of Mistaken Identity
Product information software provider FullTilt Solutions (FTS) -- which made sure to disclaim it was "not an online poker site" -- has retained MHKogan Corp. to sell its "now-famous domain name." FTS said the FullTilt.com domain receives an estimated 60,000 unique visitors per month, most of whom the company believes are poker players seeking FullTiltPoker.com. "At first we thought that the extra traffic was fun, but now traffic has grown to a point of distraction and is utilizing resources that should be reserved for our customers and prospects," said FTS Chief Executive Timonty Wallace. The domain is set to be sold at auction in November. All interested parties have been instructed to register with, and be pre-qualified by, MHKogan by Nov. 15. The company expects the sale price to be in the "seven-figure range."
IGH Offloads Heathorns to Jennings
The Telegraph reported Wednesday that British bookie Heathorns was acquired from embattled Interactive Gaming Holdings (IGH) by Jennings, a group the paper calls a "small outfit." Financial details were not disclosed. IGH's PremierBet brand -- as well as its Heathorns' VIP service -- was not included in the deal.
Zone4Play, Two Way Media Announce Joint Venture
Content developer Zone4Play has formed a joint venture with Two Way Media to expand both companies' penetration into the U.K. market. The venture, Two Way Gaming Ltd., is already operating out of Alderney, with Two Way Media Commercial Director Guy Templer serving as managing director. According to Templer, the venture is poised to benefit from the vacuum created by the "collapse" of the British Call TV market, and will offer its services via six different channels, including U.K. cable, satellite, Internet and mobile.
SciGames Completes Asian Acquisition
Scientific Games has completed the acquisition of a 50 percent stake in Guard Libang, the China-based instant lottery ticket cooperative services provider, for an estimated $28 million. Guard Libang is an indirect subsidiary of Hong Kong-listed Rex Capital Financial Holdings. Scientific Games said it expects the acquisition to be neutral to 2007 earnings though accretive in 2008.
24hPoker Returns to Profitability
After reporting an SEK 11.1 million loss for H1 2007, 24hPoker has revealed a SEK 0.23 million net profit for the third quarter. Poker and casino revenues were up 11 percent and 207 percent, respectively, during the period.