|Online gambling software developer Playtech has announced that it is planning an ‘aggressive’ acquisition strategy after enjoying strong growth towards the end of 2007.|
Playtech stated that it is currently in talks to sign licensees in the Spanish and Italian markets for the first time. In addition, it said that a service signed with a large unidentified Asia-facing online gaming operator would be launched by the end of the first quarter.
According to the Financial Times newspaper, Playtech is also understood to have signed a further licensee agreement with a separate Asian operator that is to be announced after approval from regulators.
Unusually for a software company, Playtech takes a percentage cut of licensee revenue and, according to the Financial Times, faces price pressure from rivals including Microgaming, a privately owned counterpart of similar size, and smaller developers such as CryptoLogic. However, the company stated that it was confident that it would meet analysts’ estimates for 2007 with pre-tax profits expected to be $68.8 million on sales of $102.8 million.
Playtech also stated that the European Championship Of Online Poker held in December was its largest event of the year and awarded $2.5 million in guaranteed prizes and helped monthly sales reach ‘record levels’.