« Home | IPO Fever Hits Africa: Stanbic Uganda » | How I Increased My AdSense Click Thru Rate By 30% » | BabyUniverse : Hit Me Baby One More Time! » | eBay Beats Amazon.com This Holiday Season » | Barrons Weekend Headline Summary - December 25, 20... » | The Top 10 Stocks of 2006 » | Chinese Professor Predicts More Good Times for the... » | How the Christmas Holiday Affects Blog Traffic: Tr... » | Harry Potter Gets Owned by Cyber Squatters » | Publisher FeedBack on the Yahoo Publisher Network »

December 27, 2006

Empire Online Exits Online Poker Business: What's Next?

posted by MR WAVETHEORY at 12/27/2006 11:36:00 PM
This year was a tough one for the online gambling industry. I wrote earlier about how the hammer came down on the industry when Congress passed a law to ban online gambling. Now, Empire Online (EOL.L), one of the biggest marketers in online gambling, has exited the online poker business. It just sold its online assets to PartyGaming PLC (PRTY.L) for $30-40 million.

Empire Online was basically in the business of finding customers for the big online gambling sits. It partnered with 888.com and whitelabeled 888.com's software and skinned its own sites. Think of it as the online version of the offline casino hosts who bring business to casinos.

That business of course got eviscerated when the Feds busted SportingBet and then passed the internet gambling ban.

Regardless of the setback, Empire Online's founder made a lot of dough. He took the company public just at the right time in the middle of 2005 and then the stock traded as high as 300 pence on the London Stock Exchange. Today, Empire Online is worth 44 pence - good for an 80% wipeout.

What is interesting is that the company's founder Noam Lanir built quite an incredible balance sheet for Empire Online. While poker was hot, it received a payment of 250 million pounds from PartyPoker. Add that to the 15 million pounds it will receive from PartyGaming for divesting its online assets and you have a balance sheet with close to 265 million pounds of cash. (Detail: The mid year results of Empire Poker show that it had 262 million pounds of cash, so it will have closer to 277 million pounds at year's end.) That is not bad for a company with a market value of 128 million pounds. Essentially, the stock is trading at a 50% discount to cash. Apparently, the founder, Noam Lanir, knows this real well and has decided to shift his company into the investment business.

All aboard! Empire Online is the ultimate Christmas holiday sale!

Previous Posts

1 Comments:

Blogger Reza Abdillah said...

Informasinya sangat bagus gan, sangat mudah dibaca dan dipahami isinya...
thanks yaa, jangan lupa juga untuk berkunjung ke web ku, oke!
Cara Memutihkan Wajah Secara Alami
3 Destinasi Wisata Pantai di Bali Terbaik di Tahun 2016
Cara Menghasilkan Uang dari Blog
Misteri dan Sejarah Benua Atlantis
Tempat Wisata di Jogja yang Wajib Dikunjungi
Cara Install Ulang Windows 7 dengan Flashdisk
Kurau Blog : Blog Tempat Berbagi Informasi
Menghilangkan Komedo dengan Putih Telur
Perbandingan Antara Blogspot dan WordPress
Cara Mudah Belajar Forex Untuk Pemula
ASIANPOKER88 AGEN JUDI DOMINO99 | DOMINOQQ | BANDARQ ONLINE TERPERCAYA
Cara Mengatasi Blue Screen pada Windows 7,XP,8
Bisnis Online Gratis Tanpa Modal
Manfaat Buah Manggis Untuk Kesehatan
Penyebab dan Gejala Kanker Serviks Beserta Pencegahannya

3:01 PM  

Post a Comment

Links to this post:

Create a Link

<< Home