888 Will Not Comment on Cashcade Online Bingo Bid - 05-26-09

May 26 - 888 Holdings this week declined to comment on the status of its bidding efforts to purchase one of the most important groups up for sale in recent times, Cashcade.

The online bingo operator, which is partly owned by Independent News and Media, is behind some of the most successful bingo sites available today, including the instantly recognizable Foxy Bingo, Think Bingo and Get Minted.

According to industry rumors, the Chief Executive Officer of 888 Holdings, Gigi Levy, has held detailed talks with Cashcade directors over a possible purchase, however neither groups were willing to confirm or deny this.

It is believed that Party Gaming is also keen on obtaining the rights to Cashcade, as well as Paddy Power, the Irish bookmaker, however 888 Holdings currently leads the bidding war.

Earlier this month, Cashcade hired the investment bank, Jeffries, to help it find a buyer. Financial estimations have a potential sale worth anything between 70 million and 100 million GBP.

Cashcade has been performing exceptionally well in the market, explaining the intense bidding war for purchasing rights.

In the year leading up to December 2008, the group reported a 91% increase in revenues, more than doubling its pre tax profits to just under 11 million GBP.

The state of the land bingo industry in the United Kingdom has also benefited Cashcade, as more and more people turn to online bingo for their favorite form of entertainment. Smoking bans, the higher cost of petrol and more chance of winning at online bingo means that more and more people discover the game on the internet - and Cashcade's results speak for themselves.