MEDIA CORP. ACQUIRES PURPLE LOUNGE ONLINE CASINO
16 October 2009
Gorman joins Media Corp board
The Microgaming-powered and eCOGRA-accredited tier one
online gambling operations of Purple Lounge Limited have
been acquired by Justin Drummond's London-based Media
Corporation for GBP 465 000.
The consideration
will be satisfied by way of an earn-out, payable over a
period of up to 5 years, with payment calculated as 50
percent of the quarterly free cash flows generated by
Purple Lounge, and can be satisfied by either cash or
shares at the option of Media Corp.
Purple
Lounge operates the internet gambling site
www.purplelounge.com, which offers poker, card and
casino games, along with sports betting. In the year to
31 May 2008, Purple Lounge made a pre-tax loss of GBP
476 670 on revenues of GBP 16 472 620. As at 31 May
2008, net assets were (GBP 685 000).
Purple
Lounge operates its poker and casino activities from
Malta, which is a white-listed jurisdiction. Following
the acquisition, Media Corp will be able to market its
gaming services to the United Kingdom, Drummond advised
in a publi statement this week.
Drummond says
that Media Corp expects Purple Lounge’s costs to be
significantly reduced following the acquisition, which
will assist Media Corp in monetising principal
publishing assets such as Gambling.com and Sport.co.uk
and allow Media Corp to mobilise its marketing expertise
to grow the enlarged business.
Following
completion of the acquisition, the chairman of Purple
Lounge, Chris Gorman, OBE, has joined the Media Corp.
board of directors as a non-executive director with
immediate effect. Gorman (42) was a significant
shareholder in Purple Lounge, and has received numerous
business awards for entrepreneurialism. He will remain
on the board of Purple Lounge on the understanding that
his appointment may be terminated on one month's notice.
Commenting on the acquisition and the
appointment of Gorman, Media Corp chief executive Justin
Drummond said: “The acquisition of Purple Lounge will be
a great addition to our growing list of impressive
destination websites. In particular, it will bring a
significant business to our leading website
Gambling.com. By combining our marketing expertise with
Purple Lounge's operational online gaming experience we
hope to create a very profitable business going forward.
“Another benefit for new and existing customers
is that Purple Lounge’s premium players gain free
membership to personal concierge and luxury life style
group Quintessentially. This is a unique service that,
to our knowledge, no other online gaming company offers.
“In addition, we are delighted to welcome Chris
Gorman onto our Board as a Non-Executive Director. Chris
was a significant shareholder and Director of Purple
Lounge. He has a wealth of experience, particularly in
the online sector. We are delighted to have someone of
such calibre and talent join us on the Board.
“Chris has been a leading light in both retail and
technology businesses over the past 10 years, and is one
of the UK's most respected and knowledgeable business
visionaries. His award winning track record includes the
monumental rise of mobile phone retailer, DX
Communications, which sold its 140 stores to BT Cellnet
for £42 million in 1998; and Reality Group, an internet
services company, sold in 2000 after just 14 months of
trading to GUS for £35 million.
"Chris now
actively invests and is involved in several businesses
maximising his strategic visioning and business
development expertise. Epitomising serial
entrepreneurship, he is widely recognised for his sharp
commercial focus and is in much demand for his advice
and comment, supporting schools, universities and
business forums on the subject of entrepreneurialism and
motivation.”
Online Casino News Courtesy of
Infopowa
More news here.
Top of page |
Home |
News |
Forum |
Webcast |
Vortran |
Accredited Casinos |
Evil Ones |
Pitch a Bitch |
Online Gambling Resources |
Poker
|
