888 aims to expand online bingo market
December 26, 2009, 7:50 am (7 years ago)
Wink Bingo was acquired by the online gaming operator 888, with agreement worth up to Ј60m. 888 is set to enhance its position in the UK market and in August was priced by rival PartyGaming for Cashcade, a different bingo company.
The deal is going to cost Ј11m in advance with the rest tied to earnings in the period to March 2011. Wink Bingo was started up about 2 years ago and by now hold 60,000 players, turning out to be one of the most accepted internet bingo sites.
"This is a profitable agreement; we believe it's a very rational price. In spite of what some people think, there is many room for expansion in online bingo; we're estimating 20 to 25 % increase next year," commented Gigi Levy, chief executive of 888.
From the beginning of this year until November 30, Wink Bingo had earnings of Ј15m and incomes previous to tax of Ј1.3m. Specialists believe that online bingo has the potential of growing by delivering new players into the business.