Bwin.Party Could be on the MarketWednesday, September 18th, 2013 by Ryan
The reports are flying from all over the place right now about the largest of all of the online gaming companies out there in bwin.Party. The reports are pretty straight forward as well, as it states that the company is apparently look at an offer that could result in the company being taken over. The deal? It’s with one of the largest and most powerful entities out there on the internet. When you sit back and think about this, there are just a few companies who could be looking at a purchase this large, and the report mainly came out due to the fact that the stock of bwin.Party has slowly slid in the wrong direction over the past few years.
Now, as far as the potential takeover goes, it’s looking more and more like it could be Google taking over the company. For the cost that is to be associated with the deal, it’s rumored that we could be looking at around 200p (pence) per share, and this is going to be twice what bwin.Party shares are currently going for. The deal isn’t anywhere near being finished, and right now I feel that it’s pretty safe to say that these are more just rumors than anything else. While they are just rumors for the time being, this doesn’t mean that a deal couldn’t be done before this year comes to a close.
Many people have asked why Google is so big on making this move to purchase bwin.Party, and the reason for it is pretty simply and straight forward, and it’s something that we’ve been talking about quite a bit. Online poker in the United States. As the online poker and online gambling as a whole continues to slowly grow in the United States and gets legalized more and more, this is leading to the intrigue. There are three states who have passed legislation in Nevada, New Jersey, and Delaware, and it looks as though other states could be making the same move before long. This means that Google is ready to make the move to get involved in online gambling by making a purchase, and what bigger purchase could they do than bwin.Party?
With Google deciding to start things off this early, it makes it so that they are going to be able to potentially work out a deal before some of the companies contracts with American casinos begin. The company has already signed a deal to go ahead and team up with two big ones in New Jersey in Borgata and Boyd Gaming, both of which will allow bwin.Party to cover their gaming software. Boyd Gaming and bwin.Party are also rumored to be partners for online poker in Nevada as well, but that deal hasn’t hit just yet.
Google isn’t just focused in on bwin.Party either though, and if the deal doesn’t work out there it’s rumored that they could be going towards William Hill. They are huge in Europe but haven’t come to the United States, but could be a potential option.
This is definitely not the first time that we’ve heard of bwin.Party being rumored about being bought by a company in the United States. Back in 2011 it looked like they could potentially be purchased by Wynn Resorts, and the price per share at that time was set at 170p. The deal never worked out, and the key reason for that was due to the fact that the laws in the United States for online gambling were still a major issue at the time.
Now, if this deal between Google and bwin.Party was to work out, it could be huge for online gambling and poker in the United States. Google is likely to take a relaxed angle towards guidelines, and Google would be able to improve exactly what bwin.Party is able to offer due to the massive amount of money that they have. Another big thing that this could create is even more competition for the other companies out there and online poker sites, which is something that we always love watching. We’ll keep you updated on any potential deal between the two sides over the next few months here.