by Renee Israel
Bwin.Party Digital Entertainment, a Gibraltar-headquartered world leader
amongst listed operators of online gaming, has released a detailed status report
ahead of the end of the financial year.
It states that the performance for the fourth quarter (October / November /
December) has been "solid" and as per the expectations of the management. The
company expects an EBITDA of between 22 to 24 per cent for the year.
Bwin.Party Excited About Future Plans
Created in March this year from the merger of Bwin Interactive Entertainment
and PartyGaming, the company reports that work on integrating the two companies
is proceeding as planned and that the synergies from the union would amount to
€40 million in the next year.
In 2013, Bwin.Party expects to generate about €65 million. It has already
bought back 14 million shares with the average price working out to £1.26 per
share. The sale of the B2B subsidiary, OnGame Network Limited, is also on track
but would probably not be closed before this year end.
The report contains more promising news. Bwin.Party revealed that it expects
to be amongst the first wave of awardees for online gaming licenses for sports,
casino, poker and bingo from Spain and online poker, casino and sports from
Denmark, in time for the opening of these markets early next year.
The company also spelled out its stand on the German market. It said that one
of the sixteen German states, Schleswig-Holstein, has announced that it would
enforce its law on online gaming which will issue licenses with a 20 per cent
tax on gross revenue. This law already has the approval of the European
Commission.
Germany's other fifteen states, however, currently have proposals which are
not consistent with European Union law. The company stated that these laws in
their current form would make it impossible for licensed operators to compete
with the black market and would eventually drive the customers away from the
regulated market.
The company also expressed optimism about its prospects in the US. There are
several moves seeking to enact regulations on online poker. Some of these are
from the States while others are Federal Government initiatives. Although it is
not yet clear which of these initiatives would be the first to be passed into
law, there is sure to be progress on this front in 2012.
Whichever form the eventual legislation takes, Bwin.Party Digital
Entertainment is strategically positioned and prepared to make the most of the
opportunities because of its existing agreements with MGM and Boyd.
