Major Merger for Online Casino Business World
The online casino merger of the year is in its final stages and is speculated to be finalized by May 2006. Bet and Win Interactive Entertainment is to acquire the Swedish-based Ongame e-solutions for approximately 474 million Euros or 570 million dollars. The joining of the Ongame network of online casinos to the Bet and Win online casino will propel the company to new heights in the industry. With such vast competition to be considered the top sites in the market, it is not at all surprising that Bet and Win is willing to pay such a high price for the acquisition.
Ongame is considered to be one of the world leaders in online poker, operating such sites as Poker Room, a hugely popular poker site. The online casino poker market has an estimated worth of $1 billion for the 2004 year and is speculated to have doubled for this 2005 fiscal year. This is a major increase from the $90 million earnings in 2002. Considering that the online casino industry has earned an estimated $12 billion for 2005; online poker is a major player raking in more than 15% of earnings. Bet And Win is one of the world’s best online casino performers among companies with market values of $1 billion or more. The online casino offers the latest in gaming technology with the best in sports books, casino games and even real-money arcade games.
The purchase of Ongame by Bet And Win is more than four times greater than any other online casino takeover to date. Last year alone, Ongame made over $17 million in profits. Adding this online casino group to the well advertised Bet And Win sites will certainly increase profits substantially; making this mega buyout worth its heavy price tag. The online casino industry is more popular now than ever before, with predicted profits for 2006 to increase by about 50%. Assuming the success of this merger, there are sure to be more and more buyouts over the next few years.