Amaya Addresses Speculation to Quell Acquisition RumoursPublished May 29, 2014 by OCR Editor
Amaya addresses speculation through clarifying rumors of an acquisition that has yet to take place.
Speculation is driving company share prices at Amaya right now, and Amaya is taking action.
Rumors of a potential takeover that drove shares up almost 5% in a single day in Toronto prompted a direct response from the gaming product and service provider giant.
Amaya Responds to Quell Speculation
In a press release, Amaya asserted that while the company "regularly evaluates potential acquisition opportunities," the company could offer at this juncture "no assurance that any such discussions will ultimately lead to a transaction."
The Word on the Grapevine
The prevailing belief at this point in business gaming circles remains that Amaya Gaming is looking to sell its poker platform, Ongame Network, by the end of second quarter in order to finance another "significant acquisition," according to a May 20th note written by Neil Linsdell, an analyst with Industrial Alliance Securities, referring to some sort of "'trade up' to a larger poker platform."
Amaya's Strategic Integration
Recent moves that reflect the strategic pattern of Amaya gaming's expansion include the acquisitions of Calgary-based Chartwell Technology Inc. and online gaming platform provider Cryptologic Ltd.
Cooler Heads Prevail
The non-confirmation by Amaya did level out trading activity, so that the share gains leveled off to close close up 2.93% to $10.55 on the Toronto Stock Exchange.