Betcorp has been sold to Bodog
After the passing into law of the Unlawful Internet Gambling Enforcement Act (UIGEA) on October 13, Betcorp decided to sell its entire online gambling infrastructures in Toronto and Antigua to Bodog Entertainment Group SA for $11 million.
Betcorp took the decision to remove the company from the US market entirely, which means the 85 percent less of the company’s total online gambling revenue.
In the last few days Betcorp had to suspend all players accounts of United States players in response to the new law signed by President Goerge W.Bush and the company stock has fallen 77% in less than five days. Betcorp is only one of a high number of public companies in the online gambling industry that have seen their share prices and values dramatically decrease in the last few weeks.
The company is expected to receive a cash consideration of $9 million from Bodog.com, the giant Costa Rica-based company founded by Calvin Ayre.
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