Feeds

PartyGaming buys two

Don't bet against consolidation

Top 5 reasons to deploy VMware with Tegile

PartyGaming is buying Empire Online's gaming business and all of Intercontinental Online Gaming's business and assets.

Neither company accepts bets from US citizens. PartyGaming was hit hard by the US ban on internet betting which came into force in October last year. Prior to the ban more than half of PartyGaming's revenues came from US gamblers.

PartyGaming picks up several brands including NoblePoker.com, EnterCasino.com and MissBingo.com. The deal should add to profits next year.

Mitch Garber, chief executive of PartyGaming, welcomed the addition of secondary brands, strong management and the support of the agreement with Playtech. The company will issue new shares to pay for the takeover.

PartyGaming will pay Empire Online 83m shares for its assets and almost 32m shares will go to Intercontinental Online. Based on average share prices over the last two weeks this represents $66.3m. But about $13m of this total will be kept in an escrow account and released in instalments dependent on performance.

The company has also changed the way it pays its executives because of the impact of the US ban last year. Chief executive Mitch Garber and chief finance officer Martin Weigold will get their hands on share options more quickly than previously agreed. Garber gets a minimum bonus of £2m if he stays in the job until December 2007.

Empire Online and PartyGaming held merger talks before but they ended in legal action from Empire Online.

The Partygaming press release is here.

Secure remote control for conventional and virtual desktops

More from The Register

next story
Ex-US Navy fighter pilot MIT prof: Drones beat humans - I should know
'Missy' Cummings on UAVs, smartcars and dying from boredom
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
The 'fun-nification' of computer education – good idea?
Compulsory code schools, luvvies love it, but what about Maths and Physics?
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.