Giga Media and Party Gaming in the News Again

May 19, 2009 - Written by Renee

Rumors and speculation are whirling in the industry once more that gambling giants Giga Media and the Gibraltar based Party Gaming are close to signing a deal.  

Giga Media has indicated in the past that it is interested in either selling or merging with another company. Last month the company hired the services of a prominent investment banking firm to help it find a buyer. It is now believed that Giga Media is in serious talks with its long time rival Party Gaming and that the latter may soon be able to call top gambling sites, including Everest Poker, its own. 

Giga Media’s new interest in a deal with Party Gaming comes on the heels of an agreement that was reached between the US Department of Justice and the group regarding so called illegal gambling activities before the Unlawful Internet Gambling Enforcement Act took hold in 2006. Before Party Gaming settled with the DOJ, no company was willing to enter into an agreement with the group as it was not clear what time of fine or sentence the authorities would impose and how this would impact Party Gaming’s financial worth. 

Giga Media is worth an approximate $63 million and holds certain key sites and interests in the United States market that Party Gaming is keen to get its hands on.