Well it is finally official after much speculation in the media and at various online bingo portals, our much loved Foxy Bingo, Cheeky Bingo and Think Bingo now have new owners as Cashcade have now sold to PartyGaming adding to their own bingo brand, Party Bingo. The deal which will allow Party Gaming to take ownership of all the Cashcade online bingo brands including Foxy Bingo and online casino Get minted is paying a reported £71.9m in cash for the Cashcade portfolio, with a further £24m on the future performance of Cashcade.
Our recent article highlighted the specualtion surrounding the deal which had been after 888 had withdrawn their interest in a purchase. The news for Party Bingo and PartyGaming however could not have been better and today Chief Executive Officer, Jim Ryan was quoted in a press release as saying “Cashcade provides us with an excellent platform to build a meaningful share of the $1.5 billion global online bingo market. Our M&A objective is to acquire companies that can put us into a top three position in each of our four product verticals and deliver substantial revenue and cost synergies. Our longer-term strategic objective is to become the market-leader in online poker, casino, sports and bingo.”
Cashcade’s Managing Director Patrick Southon, said in a press relase sent out today: “This is an exciting day for Cashcade and we are delighted to join the PartyGaming organisation. We believe there is a substantial opportunity to leverage our existing business now that we are part of the world’s leading online gaming company.”
Simon Collins Director of Cashcade and Foxy Bingo said on the Perfect Storm website “The deal with PartyGaming is all about the future and how we build our products and business in a highly innovative, rapidly-expanding global market. This development will include two key areas, both of which will be made possible by today’s news. Firstly, whilst maintaining our UK position, we will be well-placed to enter international markets, as they open up around the world. Secondly, with the synergies of a larger company we will be able to help deliver great bingo propositions on managed service deals with Intralot and Cirsa.”
The news of the sale has gone down well in the City with The Guardian carrying a piece about how the news had generated a flurry of interest which has resulted in an increase in PartyGaming share value and is quoted as being up 14.25p to 248.75p in response to the news of the sale. The fortunes of Independent News & Media also look a little brighter with their shares up 1% to €0.2425 after the sale of their 18.07% stake in Cashcade.
Clearly everyone is overjoyed by the deal – let’s hope that all the players at the Cashcade sites including the Foxy Bingo players will be too!