Gambling.com For Sale
As 2010 came to an end it was reported that many gaming domains were up for sale. The first week of January 2011isn’t even over yet and so far one of the most sought after names within the casino industry namely Gambling.com is up for sale.
Media Corporation is the owner of Gambling.com and the Company has hired the services of domain auction specialists Sedo to do the sale on their behalf. Media Corporation said that $9 million is the reserved price, although its CEO Justin Drummond anticipates that the domain might be sold for $10 million plus. So far private equity companies have shown some intent by means of purchasing Gambling.com. Top internet casino operator in the UK Bet365 and Playtech hailed as one of the premier software providers has also been mentioned. Some of the offers that have been put forward to date is $6 million; this amount is way below the reserve price.
Gambling.com is arguably the most desired domain name within the internet gambling industry. Media Corporation said that Gambling.com has an extraordinarily high Google search ranking and generates well over 300,000 unique visits on a monthly basis. The sale which is handled by Hugo Dalrymple-Smith, Sedo’s representative in London, said, “This domain is a prime example of what gaming powerhouses are looking for in order to further cement their brands within a very competitive market. Gaming is arguably the leading internet businesses and gambling.com will give any internet casino that edge above the rest.” Strictly speaking $9 million is not that much, truth be told in 2005 Media Corporation paid $20 million for Gambling.com. The following year it generated $5.5 million in advertising revenues alone.
Another important indicator that might impact on the value of a domain name is whether or not it has a business attached to it. Sex.com had no business attached to it and it was sold by Sedo in an auction to an unidentified buyer for $13 million. Rumour has it that Insure.com, which had an attached business sold for $16 million. Gambling.com is a top notch casino portal, presenting players with the latest internet casino games such as poker, bingo and sports betting. Leading online brands such as Bodog, Platinum Play and Go Casino have advertising campaigns with this portal.
The question is why does Media Corporation want to sell Gambling.com? According to the company since the inception of the UIGEA in the United States it compelled Media Corporation to exit the American market. This caused the portal’s depreciation. Drummond said, “Gambling.com has not contributed that much in actual casino revenues on a monthly basis, the cash we hope to receive from this sale will enable us to make further acquisitions.” Media Corporation is the proud owner of the Purple Lounge Group of internet casinos and poker room powered by Microgaming.[addtoany]