PartyGaming only recently took over Cashcade, which meant they acquired some of the leading online bingo websites in the UK. This has already left the world on online gaming in a bit of a tizzy. After all, that puts PartyGaming in an extremely strong position. Even so, it did cost them £94 million to achieve! During a recent press release, World Poker Tour enterprises, an American company, revealed that PartyGaming will be taking over their current online gaming operations. All lock stock and two smoking barrels of it!
For the first six month of 2009, PartGaming have already been accountable for 30% of World Poker Tour’s total revenue. Currently making them their No1 customer. This deal won’t be quite as expensive for PartyGaming, with the World Poker Tour enterprise being valued at just under $12.5 million. In comparison, mere peanuts for the mighty Party gaming PLC! The deal is set for completion by the end of the year, once all the World Poker Tour shareholders have given formal approval. PartyGaming will also be doling out around $3 million after it acquires the company, over a period of three years. Because of a revenue share deal, that will be cut in as part of the contract.
The World Poker tour deal will be the first to be secured by them, with an American company, since 2006. When online gambling was stopped in its tracks by the US government. When PartyGaming, somewhat notoriously, snapped up Cashcade for a record amount, they did make it known that this was just the beginning of their current enterprise push. It was made very clear, PartyGaming were on the look out for more companies, in a bid to expand the company’s already bursting, online gaming portfolio. With this latest deal looking like it’s in the bag, PartyGaming look fair set to expand even more. The only question is, where will it all end?
