Bwin and Party Gaming set to Merge

Two of the biggest online gaming companies are planning a merger in the beginning of 2011.

The two companies issued a statement as to their intention to merge in July 2010.

The merger proposal that will come up for vote and the breakdown of shares offered is Bwin shareholders holding 51.6% of the new company and PartyGaming shareholders holding 48.4% of the company.

The new company is estimated to have unaudited net assets of €1.27bn and unaudited net revenues of €696.2m, with unaudited profit after tx of €99.4m.

If the merger will be approved by the shareholder the new company will operate under the name bwin.party Digital Entertainment Plc and be listed on the London Stock Exchange.