Is a William Hill, Amaya Merger in the Works?
Amaya, Inc. and William Hill, two of the biggest names in the online gambling world, are reportedly discussing the possibility of a merger. The blockbuster deal, should it come to pass, could have a major impact in the worldwide gaming business.
According to a joint statement by the two companies, as reported on by the Reuters News Agency, the deal is being described as, “consistent with the strategic objectives,” of both companies. The statement went on say that any potential merger would be a, “merger of equals.”
No matter how it all sorts out, a merger between William Hill and Amaya Gaming would be a very big deal for the online gambling industry. After all, in the wake of its purchase of PokerStars’ assets in 2014 for nearly $5 billion, Amaya is one of the world’s larges publicly traded gaming company.
For its part, William Hill is one of the UK’s largest, and best known, bookmakers and commands huge market share in the country.
Word of the potential merger was music to the ears of investors, who piled on Amaya Gaming stock all day. Almost immediately after the companies released their statement, Amaya Gaming stock prices leaped by an amazing 9.1 percents.
Besides its potential for increased profit, the merger is a bright spot in what’s been an otherwise miserable year for the Canadian-based Amaya Gaming. Earlier this year David Baazov, the company’s former CEO was charged with securities fraud in Quebec. Though he denies any wrongdoing in the case, and is mounting a vigorous defense, his troubles have been a major distraction for the company.
William Hill is not the first company to express an interest in joining with, or taking over, Amaya. Earlier this year the company was the target of a takeover by GVC Holdings, the current status of that deal is not known.