From what I know and have been advised on in the current state of play in the igaming and online casino sector the South African region appears more politically friendly to online casino brands than the Australian sector. At times like these we’re glad to be a media, publicity and portal development company (with an igaming arm), rather than actually being an online casino or igaming company. We’re somewhat following the Virgin Enterprises Limited type business model formula of being pro actively involved in a number of business verticals, thereby minimizing and spreading risk. ie: not a casino company, not an airline company, not an internet company…news media and portal development covers a lot of ground. I think PartyGaming, Betfair, PokerStars, Virgin Games, PKR and Doyle’s to name but a few will be watching to see how 888 performs in South Africa. You can bet Australian Communications Minister Stephen Conroy down under here in Australia has his ACMA “blacklist” at the ready, just waiting to expand on it. Look up Betfair in relation to the ACMA blacklist. I wouldn’t be surprised if Australian casino tycoon, James Packer, the Crown Casino king has his people looking into the “blacklist”. Packer has some strong history with Betfair. Betfair are not impressed with the Dutch treatment of late either. Things are just heating up on international and national igaming rules and regulations. By the way, I used to believe that casino slot game “Bush Telegraph”, as found at Captain Cooks Casino and backed by Microgaming, was an Australian themed slot but have since learned that its likely a South African jungle type theme and story behind its branding. Jeff Fenech and Shane Warne have done some great publicity work for 888 in Australia along with some fantastic community and charity fund raising activities also. 888 even teamed up with Packer’s Crown Casino and The Salvos to assist in the Victorian bushfire relief effort.
Greg Tingle
Director
Media Man Australia
Casino News Media
Australian Casino News
@NathanCAP 203771 wrote:
888’s B2B division signs South Africa deal; stocks jump 2.5 percent
May 13, 2009 (CAP Newswire) — Yesterday, 888 Holdings Plc’s B2B unit, Dragonfish, announced a new strategic partnership with South African-based Phumelela Gold Enterprises (PGE), one of the world’s largest pari-mutuel horseracing and tote betting organizations. (Read about that news here.)
Today, the market responded by bumping up 888’s stock numbers 2.5 percent. This continue a welcome trend of impressive financial performance for European online gaming companies that’s most likely being fueled by the United States’ warming to the idea of legalizing and regulating the pastime.
The Dragonfish deal will allow 888 to access the South African market, a prime area for activity that many observers are anticipating will grow as regulation comes more fully into play in that nation.
Numis Securities said that “we would expect the shares to respond positively to this agreement and to narrow the around 50 percent 2010 EBITDA valuation discount to its bigger peer, PartyGaming”, according to an article filed by Reuters news service.
Also according to the Reuters article, the Daniel Stewart & Company firm commented: “A cornerstone of 888’s growth strategy is expansion of its B2B offering and it is making good headway. This deal should further underpin our current estimates of 2009 EPS of 12.65 cents, placing the shares at 12.5 times 2009 and 10 times 2010.”