Canadian company CryptoLogic has confirmed
that it will purchase the poker brand and related assets of Parbet.com,
a Scandinavian online poker room.
CryptoLogic companies will reportedly license the Parbet
assets, poker software, payment processing services, multi-lingual
customer support and services to a private Maltese online gaming company
which will operate Parbet.com. The agreement is subject to certain
conditions.
The purchase will include rights to the Parbet brand
name, associated domain names such as Parbet.com, customer lists,
databases and players’ cash in deposits.
As part of the agreement, CryptoLogic's subsidiary,
WagerLogic, will pay €9 million for the brand and assets, and potentially
additional amounts up to €4million, dependent on improved performance
of the assets over a six-month period. The deal is expected to be
completed by January 15.
Currently, Parbet is said to generate approximately
$7 million in revenue annually. CryptoLogic said it expects the licensing
arrangement to add approximately $2 million to 2007 earnings.