A Win for Shareholders
The shareholder for both Bwin and Party Gaming have a lot to think about this
week as the announcement hit the media that the two companies have solidified a
merger deal that will only take place if the shareholders of both of the online
casino gambling groups approve the deal. This merger deal is the biggest that
has hit the internet gambling industry in years because it would add a major
contender to the market because both of these companies already seriously
dominate their niches. The merger value of the company alone is astounding and
would value the joint company well above nearly every other online casino
gambling group.
Independently the two companies are valued at more than GBP 1 billion each so
together the shareholders on both sides of the merger deal are looking a great
value. The current state of the online casino gambling industry is all about
diversification and this merger deal fits perfectly into the current market.
Shareholders on the Bwin side will own a tiny bit more of the company with Bwin
shareholders taking a 51.6 percent stake in the newly merged company and Party
Gaming shareholders owning the remaining 48.4 percent.
The stockholders are the real winners in this situation although the online
casino gamblers themselves are also going to benefit by a much larger and
diverse product offering from companies that they trust. Through the merger the
two brands will have access to stronger technologies that they do not already
possess and will create more opportunities for both companies. |