Online Gambling Casinos May Merge

Online Gambling Casinos May Merge/ August 2006
With the current legislation in the U.S. that may be passed in the Senate, European online gambling casinos are looking for ways to build up their business in other areas, away from the United States.

This is proving fruitful for the many smaller online gambling casino companies who have focused their business at the European and Asian markets.

One online gambling casino company, the Victor Chandler Group has had three undisclosed bids to purchase the company.

PartyGaming Plc which is the operator of PartyPoker.com recently bought out GameBookers for £69 million and is now showing interest in the Victor Chandler Group. PartyGaming are primarily interested in the Victor Chandler Group because the company has no dealings with United States online gamblers. Their business exists solely out of America and is firmly established in Asia.

The identity of the other companies who have made bids for the Victor Chandler Group is not known. It has been reported that negotiations for the company may begin in September.

The Victor Chandler Group was started by the Grand father of the current owner (both called Victor Chandler). The company operates an online gambling casino, as well as a sports betting arm and a separate poker club. The company was failing before the current Victor Chandler took over business. He decided to relocate the company offshore to Gibraltar when business has really taken off and boasts a £1.4 billion turn over.

The trend of European companies merging is becoming more and more widespread as companies that are finding their American markets are begin to recede because of the current legislation attempting to be passed in the Senate. Many online gambling casinos are bracing themselves for the worst case scenario and building on new markets in Europe and Asia.

The American market provides almost half of the worlds online gambling casino customers and over half of the $12 billion revenue. Internet casino companies have been feeling the pinch ever since gambling executive David Carruthers was arrested in Dallas Fort Worth airport. This move from the U.S. government has put the frighteners on many casino companies, who weren't expecting such severe measures to be taken.