April 9 - A non prosecution deal signed with the US Department of Justice may pave the way for PartyGaming to return to the US poker market in the future.
This is the view of industry analysts who agree that the multi million dollar agreement would lead to a period of certainty and growth for PartyGaming. Already share prices for this company jumped by 14% on the London Stock Exchange after a statement was released regarding the terms of the deal.
PartyGaming has admitted that it offered gambling activities in the US market that were contrary to certain laws in the country prior to the Unlawful Internet Gambling Enforcement Act. The company agreed to pay the Department of Justice $105 million in return for non prosecution and closure in the case.
PartyGaming announced that with the case now firmly behind it, it would be free to focus on the expansion of its business. The company's Chief Executive Officer, Jim Ryan, said that PartyGaming could now "seize opportunities that were previously beyond our reach".
Analysts are saying that some of these opportunities referred to by Ryan could mean reaching out to companies with a foot in the US poker market with the aim to consolidate or merge.
Companies such as Full Tilt Poker and Poker Stars, who offer their services to US poker players and have escaped prosecution, will now need to consider that they may very soon have a tough fight on their hands to retain their advantage, if Party Gaming begins to eye getting part of its market share back.
When PartyGaming left the US poker market in 2006, it lost a substantial part of its business, and has never fully recovered from the blow.
It is believed now that PartyGmaing will renew its efforts to re-enter the US market and reclaim what was lost in 2006.
