Global Sports: What the Amalgamation of Bwin and Party Gaming does for the Online Poker Trade

Thursday, July 21, 2011

What the Amalgamation of Bwin and Party Gaming does for the Online Poker Trade

By Gregory Brooks


The amalgamation of Austria-based bwin and Party Poker of the UK has resulted in the huge gambling establishment Bwin.Party Digital Entertainment. The decision to merge was first proposed for July of 2010. And it was decided that bwin share holders would receive 52% of the total shares. The new company was to be managed by two co-CEOs; there is Jim Ryan from the Party Gaming and Norbert Teufelberger from bwin.

With the merger, they could top the list for sports betting, poker and other games like bingo. They were also able to control the market and make a lot of money. They also reached the top position in the online amusement industry. They are in the hope of being able to take over the US market in online poker.

The merger is believed to bring them to the top, as both companies are experts in their respective fields, and so their collective endeavour would bring them to the top of the online poker and other casino games.

The merged company has huge expectations of expanding the Party Poker trademark in Europe. Bwin was a division of the Ongame Network. However, now that they have merged with Party Poker, they are expecting to establish the largest online poker room on the globe. They are also aware of the fact that they do not have an opponent who can really confront them.

In the smaller language area, the new fusion of bwin and Party Poker is looking forward to saving on the customer service costs. Party Poker could use the bookmaking strengths of bwin and also their M&A, in the sports book vertically. Besides, bwin will not have vertically to build up their own casino.

The risk factor has been reduced by the merger because there is no amalgamation of supply or assembly lines. Since they are operating from different countries, the two international companies have different operations. If you consider the staff, you will find that they are very young, with different cultures, and will not find it difficult to make adjustments. The only test before them is that they should try to keep from falling prey to the ravenousness and unscrupulous tendencies of today's business world.

The stock market took well to the merger of the two companies. For a change, the investors and analysts, both agree that this is a perfectly orchestrated move to bolster the chances of both companies. The first day winning for the bwin was 17% and the Party poker was 20%. This impressive winning could be considered as a good omen for a bright tomorrow.

Mergers have good and bad points. With the merger of bwin and Party Poker, the poker industry would go through a tumultuous change. The smaller players may be sadly washed out. The risk factor being nil you can be sure that the poker industry will grow rapidly. The joint experience of the two CEOs will surely go a long way to add great value to world poker.




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