My my, how the worms turn. The Motley Fool/MSNBC's latest online poker investing article is pretty rosy...
Party's ipo is fairly valued "in an industry that's showing tremendous
growth and popularity," and the two major hurdles that the online poker
industry faces (that poker is a potential fad, and the quasi-illegal
status of online poker in the US) are not ones that should hinder
anyone willing to take the risk from talking to their brokers about
investing in the London Stock Exchange-- namely, in online poker stocks.
So, the difference days make?
Although it wasn't mentioned except in passing, the jump the WPT stock(s) took two weeks ago
has to have been an eyeopening experience (or, at least one confirming
greed will jujitsu morality in a heartbeat) to US-based traders and the
author
of the article. Sure, the stocks ended Friday at less
reflective of the $700m bid, but this was also after trading was halted
and then resumed for the WPT stock-- it was frozen at $29.50, much
closer to
the supposed bid price, broken down to $34/share valuation if the $700
million figure is accurate. And who knows how high it may have gone had
it not been capped off early and reintroduced later?
What the hell am I talking about?
That the online poker industry (again) has the attention of US-based investing
houses and banks thanks to the WPT shenanigans. All of the surrounding
poker hype in financial markets: Party Gaming's float and its moneyspewing
onto the London
market (buoying the FTSE, along w/ rising oil prices, to a 3-year high), the moneymoneyeverywhere-but not a drop for US banks singsong, and the quick reaction the market showed to Dolly's offhand, "number on a piece of paper"
in an envelope (aka: the official bid for World Poker Tour brand) all
lead up to a salivating US market on the end of that doj rope.
Were Brunson et al simply testing the waters to see the market's
reaction to the possibilty and power behind the WPT brand (and as a
figurehead for the overall market valuation of the poker meme as a whole?) Is this
article a direct, if not attributed, reaction to the WPT bid? Can we
expect to see more US-focused investment firms and information clearinghouses
offer the suggestion to slip Party Gaming into their portfolios?
hehe.. i also meant to tell yall i bought a "real" redirect url too...
asiaK.net, but am
staying on my (mexican)radio so pls don't change bookmarks on account
of me.
And my whoa insertion of the day (well, second one anyway...) ;)
Tuesday, July 19, 2005
