PartyGaming and 888 In Merger Talks
Online gaming giants PartyGaming and 888 Holdings held preliminary talks over a possible merger, Sunday Times newspaper reported. Industry experts are predicting the companies would have a market value of £1.6 billion if they were to consolidate.
Both companies were left reeling as stock prices and revenue plummeted after US President George Bush signed legislation effectively banning online gambling in the country.
PartyGaming, which earlier in the month said the legislation would cost it in excess of £130 million, put an optimistic front on the situation and called it a ‘golden consolidation opportunity’, despite over 70 per cent of its business coming from the states.
The online poker company has also reportedly been in tie-up talks with Gamesys and Victor Chandler over European and Asian gaming opportunities in recent weeks.
Neither PartyGaming or 888 were available to comment on the speculation.
