Amaya Network have responded to the recent 30% increase of trading shares and potential merger with PokerStars.
The merger would see PokerStars entering the regulated US market under a new name or company as a loophole around the bad actor clause. PokerStars have failed to receive approval to operate in New Jersey, Nevada, Delaware and California.
The largest online poker site was suspended for up to 2 years for operating after the 2006 UIGEA came into law, preventing PokerStars from getting any US poker player action since Black Friday.
PokerStars Merger Amaya
On 26th May Amaya Network responded to PokerStars Merger Amaya rumors which arose when trading stocks of Amaya suddenly increased by 30% during the week.
Amaya Network responds to the PokerStars Merger Amaya
In response to trading activity that may stem from market rumours that have come to the company’s attention regarding a potential strategic acquisition, Amaya Gaming Group Inc. (TSX: AYA) stated today that strategic acquisitions have been and are one component of the company’s growth strategy and, as such, Amaya regularly evaluates potential acquisition opportunities.
From time to time, this process leads to discussions with potential acquisition targets. There can be no assurance that any such discussions will ultimately lead to a transaction. As a general policy, Amaya does not publicly comment on potential acquisitions unless and until a binding legal agreement has been signed.
The company intends to make no further comment or release regarding current market rumours unless and until such comment is warranted.
PokerStars Merger Amaya
The response of Amaya Network does not rule out that discussions for PokerStars Merger Amaya are currently underway, Amaya is waiting for a deal to be signed before making an announcement of the possible merger.
The Rational Group who own PokerStars would be able to get a piece of the US market trading under the Amaya name. Amaya have been approved for a license to operate in New Jersey and have a clean slate to apply for future regulated US poker markets like New York.
The PokerStars NJ license application was denied unless drastic changes took place in the ownership division of the company. PokerStars owner and founder, Isai Scheinberg is still under investigation for violating the 2006 Unlawful Internet Gambling Enforcement Act.
This gave PartyPoker, 888Poker and Ultimate Poker a head start in regulated Nevada, Delaware and New Jersey poker sites.