MGM Resorts Signs Deal with Bwin.party Digital Entertainment

In a recent statement, MGM Resorts announced about a joint venture that the company signed with Bwin.party digital entertainment. PartyPoker, the second largest online poker room in the world, is owned by Bwin.party digital entertainment. MGM Resort’s chief, Jim Murren, stated that his company is extremely proud to have teamed up with Bwin.party. The partnership will be able to deliver a secure and entertaining environment for online poker. Boyd Gaming also announced its online poker alliance with Bwin.party.

Online Poker Products to be Regulated

Bwin.party’s CEO said that the announcements made by MGM Resorts and Boyd Gaming are related and have been in the pipeline for 18 months. A joint venture will be formed between Bwin.party and MGM Resorts. Boyd will also offer online poker products under a regulated jurisdiction. In the new venture, Bwin.party will hold 65% of the shares. 25% will be held by MGM Resorts and the rest 10% will be owned by Boyd. In addition, the proposed deal also mentions that Bwin.party will have its technology licensed to both Boyd and MGM Resorts.

Regulatory Expertise of Boyd and MGM to Be Incorporated into Bwin.party’s Leading Brands

The key intention behind the joint venture is to employ the combined regulatory expertise of Boyd and MGM into popular brands like World Tour Poker and PartyPoker. Four brands will operate in the US market very soon. They will acquire players under one poker network.

Bwin.party digital entertainment was once the biggest online poker network of the world. However, Internet Gambling Enforcement Act pushed the company out of the American market. With this, Bwin.party lost a significant potion of its shares. The joint venture with Boyd and MGM will mark the return of the company into the US market.

Only Online Poker likely to be Legalized

Although Bwin.party has a lot to offer in the online casino domain, only online poker was addressed in the announcements. This is because the companies involved are currently expecting only online poker to be legalized.

The online poker market of the US is one of the strongest in the world. However, the disapproval of the Department of Justice has not yet let the industry come to the forefront. Big companies of the US stayed out of the business while offshore operated sites reaped the benefits.

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