Mergers Abound

With so many companies going belly up these days, most companies are willing to do anything they can in order to stay afloat. The global recession has now officially affected everybody at all different levels. Many companies have turned to the merger to save some jobs, since that way not all is lost, and many people still have livelihoods to come to work for.

That is why it isn’t very surprising that online slots casino giants GigaMedia and Party Gaming have just announced that they are in talks to finalize a merger deal themselves. Recently Party Gaming has been making headlines because it was in danger of prosecution in the United States for still operating within the borders, even though a specific law said that it was not allowed. Now that that whole conflict has been resolved, it looks like they have hit the ground running and now they are on to the next bigger and better thing around the corner.

The way mergers usually work is that one powerful and wealthy company basically “eats” the assets and identity of a lesser, troubled company. That way, the big company is able to absorb mistakes and losses, and revamp it from the inside out, by making follow its own rules and procedures. That is exactly the case at online casino Gigamedia, who have publicly announced their search for a buyer a few months ago. Perhaps the most well known brand that is part of that country is Everest Poker, which is one of the most popular sites in the poker online casino circuit.

Either way it looks like another win win situation for both companies.

Back to April 2009 Archive.