Merger Talk
After rumors of merger talks between PartyGaming PLC and 888 Holdings PLC imploded last week, the Sunday Telegraph reporting that bookmaker Ladbrokes PLC (LAD.L) was looking for acquisitions in the troubled online gaming industry. The paper quoted a spokesman for Ladbrokes as saying, "It would be unusual if we were not to look at opportunities in the sector. We are monitoring the situation." Ladbrokes confirmed today that it was in talks to buy 888 Holdings PLC. The company said that it was in the early stages of "reviewing a possible transaction involving 888. No decision has been made as to whether any proposal will be made to 888." No sale price has been named yet. Ladbrokes added 10.75p today to close at 420.75 after the announcement, while 888 gained 12.5p today to 120.5.
More Merger Talk
Online gambling operator PartyGaming is reportedly in talks to buy part of Austrian Internet betting company bwin, but bwin denied the rumors today.
"We are talking to PartyGaming, like with all other big firms, about lobbying together to show a united stance for the industry in the European Union," said Karin Klein, spokeswoman for bwin. "But we are not talking to PartyGaming about a sale."
Initial reports helped lift bwin shares by 15 percent in early morning trading today, but it closed up 5.6 percent at 16.85 euros. PartyGaming climbed up 1.25p to 28.75.
Reporting
Internet gaming software developer CryptoLogic Inc. (CRY.TO) has reported financial results for the third quarter and nine months ending Sept. 30, 2006. Highlights include a 32 percent increase in quarterly revenue to $27.7 million and $85 million for the nine months. Prior the enactment of the U.S. Unlawful Internet Gambling Enforcement Act on Oct. 13, CryptoLogic had already taken action by ensuring that all of its licensees had stopped accepting bets from U.S. players, significantly reducing the company's revenue and earnings in the short-term. Since then, CryptoLogic has announced several strategic move to strengthen the company, including signing an exclusive new poker licensee (Betsafe); introducing its new Poker Tournament Leader Board and maintaining its quarterly cash dividend of US$0.12.
CryptoLogic - Third-Quarter Earnings
Austrian sports betting company bwin will announce on Nov. 16 its financial results for the third quarter and the first nine months of 2006. The company will present a video Web cast, hosted by Co-CEO Norbert Teufelberger, to discuss the results, immediately following their publication. The Web cast will air at 9.30 a.m. CET.