PartyGaming looking for more deals

(The Gibraltar Chronicle) Internet betting firm PartyGaming has said it will press on with further deal-making following its tie-up with Austria's Bwin to create the world's biggest online gaming company. The company said it would "continue playing an active role" in the consolidation of the sector after the completion of the deal early next year. PartyGaming boosted its own revenues 30% to 181.2 million euros (£150.2 million) in the first half of 2010, helped by acquisitions including the Cashcade bingo business and improved casino and sports betting takings. The firm is pushing into newly-regulated territories such as France, where online gaming licences for sports betting and poker were issued for the first time in June 2010.>

Alongside trailblazers such as the UK, France and Italy, Denmark is also planning to open up its online gaming market early next year.

Spain, Greece and Belgium have been linked with similar proposals, although the big prize remains a return to the US market for the first time since 2006, when authorities passed legislation preventing the transfer of funds to gambling sites.

Two US senators, Barney Frank and Jim McDermott are pushing for the regulation and licensing of online gambling in the US, which they estimate could raise 42 billion dollars (£26.5 billion) over ten years.

PartyGaming is hopeful of a breakthrough but said further progress could be limited until after the looming US mid-term elections due to the "politically sensitive" nature of the subject.

Party's origins were in poker through the Party Poker website but it pulled out of the US in 2006 and was forced to make up for declining poker business by growing other games. Poker now accounts for around a third of revenues.

Although its online card tables were hit by the World Cup, the group said trading since the end of June had been in line with expectations, with an "encouraging" start from its French poker business.

Numis analyst Wyn Ellis said the key opportunities for the group included industry consolidation and European markets.

"Momentum is also gradually gathering behind regulation in the US... There are plenty of promising opportunities on the horizon." he added.