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October 30th 2006
PartyGaming and 888 Holdings in merger talks
Two of the UK’s biggest newspapers have reported that PartyGaming Plc and 888 Holdings Plc are in talks to discuss a possible future merger of their businesses.

Both companies have suffered massive drops in revenue since the Unlawful Internet Gambling Enforcement Act (UIGEA) forced them to withdraw from the US, which accounted for an estimated 70 percent of their business.

The Financial Times and The Sunday Times reported yesterday and today that PartyGaming and 888 had held preliminary talks with a view to a possible merger. Apparently the motivation for the merger is to help create a site with an enormously high volume of players, one of the first things poker players look for when choosing a poker site.

The smaller sites that are still operational will certainly be looking over their shoulder over the coming months as the big non-US companies try to consolidate their player base and swallow up their lesser rivals.

Already PartyGaming has cancelled its interim dividend to free up $100 million to be used for acquisitions. The race is on!


Submitted: 30/10/2006 12:35:00

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