11th January 2010
PartyGaming, the world’s leading listed online gaming company, today announces an exclusive, five-year agreement to provide an online gaming platform for poker and casino games in Denmark for Danske Spil A/S (‘Danske Spil’).
Controlled by the Danish Government, The Danske Spil Group is one of the largest betting and gaming organisations in Europe with DKK 10,955 million of turnover in 2008. Offering a variety of gaming products in Denmark including the national lottery, numbers games, instant games as well as gambling on machines, Danske Spil has also established a large online gaming business and already has over 500,000 registered online customers.
In 2009 the Danish Government published draft legislation for a partially liberalised gaming market in Denmark that is expected to become law in 2011. If adopted, poker and casino will be among the games subjected to open competition in the Danish market. Whilst Danske Spil has strengthened its position in a number of online gaming categories such as bingo, sports betting and casual games with strong growth in the number of players and revenues, it recognised the need to join forces with a leading online gaming company in order to achieve its potential.
Over the past seven months, Danske Spil has screened the market for providers of services and potential online partners that specialise in poker and casino games. As part of its selection criteria, Danske Spil was determined to find a supplier that matched its own high standards for product quality, security and ethical requirements. PartyGaming passed all of these pre-requisites and is set to create a new strategic alliance with Danske Spil in Denmark. It is expected that the commercial terms between both companies will be finalised within the next few weeks.
Commenting on today’s announcement, Jim Ryan, Chief Executive Officer of PartyGaming said:
“This is a landmark B2B deal for PartyGaming and validates our strategy to become a leading provider of B2B services to both corporates and governments around the world. Danske Spil is widely recognised as one of Europe’s leading gambling businesses, one that is pre-eminent in the Danish market. We are delighted that Danske Spil has recognised our expertise and high standards of business practice and we look forward to building a significant and profitable enterprise as soon as the newly regulated Danish online gaming market opens.”
H.C. Madsen, CEO at Danske Spil, said:
"With some of the world’s leading products in online poker and casino as well as a large international customer base, PartyGaming is definitely a strong business partner for Danske Spil. Combining this with Danske Spil’s unique and strong position in the Danish market with more than 500,000 Danish online customers will guarantee that together we will deliver a highly attractive customer experience to players in Denmark."
PartyGaming Plc is the world’s leading listed online gaming company. The Group is a constituent of the FTSE 250 share index with its shares listed on The London Stock Exchange under the ticker: PRTY. In the year to 31 December 2008, PartyGaming’s Continuing operations generated revenues of $472.9m and Clean EBITDA of $144.2m.
PartyGaming’s principal brands are www.PartyPoker.com, one of the world’s largest online poker rooms, www.PartyCasino.com, the world’s largest online casino, www.PartyBingo.com, www.PartyGammon.com, www.PartyBets.com, www.PartyMarkets.com, www.FoxyBingo.com, www.GetMinted.com, www.Gamebookers.com and www.WorldPokerTour.com. None of the Group’s sites accept real money customers located in the US.
PartyGaming is regulated and licensed by the Government of Gibraltar and by the Alderney Gambling Control Commission and it is also certified as a responsible gaming operator by GamCare, the leading UK authority on the provision of advice, practical help, support and counselling in addressing the social impact of gambling.
PartyGaming’s shares are also a constituent member of the FTSE4Good Index Series, which enables investors to identify companies that meet globally recognised corporate responsibility standards.
About Danske Spil
Danske Spil is a company group comprising of Danske Spil A/S and the subsidiary company Dansk Automatspil A/S. Danske Spil A/S has 270 employees.
In the 2008 financial year, the Danske Spil Group recorded a turnover of DKK 10,955 million, DKK 8,757million in Danske Spil and DKK 2,198 million in Dansk Automatspil. Group profits were DKK 1,543 million and a total of DKK 1,610 million, including guarantee payment from the State of DKK 100 million, was distributed to stakeholders. Danske Spil’s total contribution to Danish society in 2008, comprising profit for the year and government taxes, was DKK 2,795 million.
The Board has 15 members, five of whom are employee representatives and ten of whom are appointed by the following government ministries as well as organisations distributing the pools and lottery funds: The Ministry of Finance, the Ministry of Culture, the Ministry of Taxation and the Ministry of Education. The Danish Sports Federation (DIF), the Danish Gymnastics and Sports Association (DGI), the Danish Football Association (DBU), the Outdoor Council, the Danish Company Sports Association (DFIF) and the Danish Youth Council (DUF). The chairman of the Board is appointed by the Minister of Taxation.
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