PartyGaming and bwin Set to Merge in 2011

The rumors have been circulating since 2009 but now PartyGaming and bwin have issued a joint statement to confirm their planned merger.

These already strong brands, with massive online poker, online sportsbook, online casino and online bingo products are about to become an industry giant. Together they will form the largest listed online gaming operation in the entire world with a joint net worth of around €3.4 billion (approximately US$4 billion).


PartyGaming's main brand is PartyPoker which is a leading online poker room. bwin's strongest product is their busy online sportsbook. Both have other online gaming interests too.

Shared Ownership, Shared Management

The super brand will be owned 48.36% by PartyGaming shareholders and 51.64% by bwin shareholders and will be listed on the London Stock Exchange. The respective CEOs will both become co-CEOswith the board of directors consisting of a 50/50 split between the two companies.

Commenting on the Proposed Merger, Jim Ryan, Chief Executive Officer of PartyGaming said, "This is a transformational opportunity for both our companies to create the world's largest listed online gaming business. With market-leading positions in poker, sports betting, casino and games (in particular bingo), the Enlarged Group will have a winning formula to exploit the growing online gaming market, supported by a strong balance sheet, significant cashflow generation and a highly experienced management team."

Norbert Teufelberger, Co-Chief Executive Officer of bwin said, "This merger of equals makes great strategic, operational and financial sense. We will be in pole position to capitalise on the wealth of opportunities that will flow from the continued evolution and expansion of the global online gaming industry."

Shares Soar

The merger is expected to be completed in the first quarter of 2011 and its announcement was received well on the financial market, putting their respective stock in a spin. bwin shares ended the day up 17.88% and PartyGaming rose by a massive 20.43%.

As details of the deal begin to emerge, players are hoping that the massive brand will offer gigantic jackpots befitting of their heavyweight status.