July 25, 2009 (CAP Newswire) — As was widely predicted in the business media in recent weeks, PartyGaming has confirmed that it has purchased majority shares in Cashcade Ltd., a London-based online gambling company that operates Foxy Bingo among other successful iGaming websites.
The transaction was reported on Thursday at the final price of £95.9 million, and is the first of many anticipated mergers for PartyGaming since it settled with U.S. authorities earlier this year.
“Gibraltar-based PartyGaming will initially pay £71.9 million for the London-based bingo and casino operator Cashcade, and up to a further £24 million subject to Cashcade's future profit performance,” writes Lilly Vitorovich at Dow Jones (via The Wall Street Journal).
Cashcade had been partially owned by British newspaper publishing company Independent News & Media PLC (IPD.DB), which had been described as “debt-laden”.
The move is likely to continue to catapult PartyGaming to the top of the online gambling marketplace, a position it had been pursuing aggressively in recent months. "Our longer-term strategic objective is to become the market-leader in online poker, casino, sports and bingo," PartyGaming CEO Jim Ryan said in a statement. Cashcade's primary strength is online bingo.