Amaya Gaming Stock Prices Rise Amidst Acquisition Rumours
Rumors are afloat about a possible acquisition by Amaya Gaming Group Inc. and as a result the group’s share prices have risen by 5% on the Toronto stock exchange. However, the group has done its best to quell these rumors.A number of industry experts such as Industrial Alliance Securities’ analyst Neil Linsdell have previously speculated that Amaya Gaming is bound to sell its online poker platform Ongame Network in order to fund further acquisitions.
Linsdell believes that Amaya is likely to sell the Ongame Network by the end of the second quarter. He thinks it is probable that the company will want to trade up to a larger poker platform.
Somewhat surprisingly the company issued a statement in response to the unusual stock activity.
It read, “In response to trading activity that may stem from market rumors that have come to the company’s attention regarding a potential strategic acquisition [the company] regularly evaluates potential acquisition opportunities… There can be no assurance that any such discussions will ultimately lead to a transaction.”
Though no official confirmation of any acquisition has been issued it is not surprising that the stock prices have been rising as Amaya Gaming’s past acquisitions include Cryptologic and Chartwell Technology Inc.