This one hit the markets running today. Despite negative publicity it was well supported so I jumped in for a small holding--anyone else joining in?? I am hoping for a good run up before the shorters get going.

PRTY divi has now been cancelled.

To me, a cancelled divi means the share is not worth 40p, probably not even 20p.
Only IMHO, NAG, DYOR etc.

Interesting to see if 888 cancel both of their divi's on the 11th Oct.

I have my own way of valuing the stock, based on my calculation, not to disappoint those who are already deep in red, I think there will be many more profit warning to come and there is still a very long downward trend to follow from this position. But again, I won't go short my position to prove me right. I will avoid this share, there are plenty of other shares which has better prospects and does not have its entire market exposure built around one geographical area alone.

Err PRTY? it's ENTIRE market exposure is not in the US sikhlaw, a high % may have been but not the entire market. Sorry but felt that needed correction.

if the consequences had not been so dire for some "friends" on here, could have been more jokey with posts/puns like "The party's over for PRTY", which I am afraid is the truth nevertheless.

PRTY may have been the largest online gaming company till Sat. But takes away the US, will it dominate in any other markets, may even had to be content with much less??? Low entry cost, good cash flow and high profit margins (eg. easy money) in online gaming will attract many able and determined competitors.

UKB is already well established and totally non-US involved

stockbunny, I think you are right. It is only 90% of the revenue generated from US. I do apologise for the mistake.

Interesting...notification of buy of PRTY shares by Barclays.

Bunny

i see they dipped below the 3% last week but have just gone back above, may only have been very small transactions that took them either side or a cracking sell and rebuy (if they had sold their whole holding) - id guess its the former

Some of these institutions would like to bail themselves out so they issue a positive statements.

Thanks Fundy, your thoughts are always sound :>)

Daily Telegraph - 05/10/2006

Credit card punters face online betting ban - By Simon Goodley


Millions of UK credit card users could be blocked from betting online in the wake of the US Congress passing laws curbing payments for internet gambling in America. Two of the UK's most popular credit cards - MBNA and Capital One - have refused to rule out barring customers from gaming sites.

The news emerged after weekend moves to outlaw payments to online gambling sites by US-based banks and credit card firms - a development that saw the value of online gambling companies listed in London drop by 3.5bn on Monday.

APACS, the payment industry's trade association, predicted that some American companies operating in the UK could now look to impose a ban.

"They may take the decision because of corporate structure, if a chief executive knows that he risks arrest next time he steps off a plane in the US," said Sandra Quinn, the director of corporate communications for APACS.

A spokesman for MBNA, which has seven million credit cards out of a total British market of 69.9m, declined to rule out a policy change. "We're watching the developments in the US regarding the new legislation. It is a bit too early to say anything at the moment, but we will keep an eye on it," he said.

Meanwhile, Capital One, which has headquarters in Falls Church, Virginia, and has more than four million UK customers, said it was unable to make a comment, although Morgan Stanley insisted it had no plans to introduce a ban.

Despite online betting being completely legal in the UK, American Express blocked its card holders from placing online bets 10 years ago. Citibank followed lead two years ago when it justified its actions by saying it was applying "best practice established by Citi Cards in the US".

At the time, it added: "We believe that our action will help limit potential risks of fraud, money laundering and the often undesirable financial impact that gambling on credit may have on individuals, and is therefore in the best interests of Citi Cards UK and its customers."

Anyone reckon it will go lower than 28p.?

Fair value according to my valuation is 16p or lower. So, if you ask me if it would go lower than 28p, the answer is yes, it will, probably after a few profit warnings.

rpaco - that's almost a spread betting question. Are you playing the points game?
imo, with PRTY falling out of the FTSE, 28p is a distinct possibilty.

slkhlaw

would you care to share the details behind your fair value of 16p ?

The purpose of the dividend cancellation is not to "waste" over $100m on shareholders (the majority being the founders) now that the US cash flows have dried up. Better, they feel, to buy out at low prices the many distressed smaller operators who, along with their US players, will have a good database of European/Asian players up for grabs. Party will be aggressive in expanding market share now ex-USA, and there's a lot to go for. The smaller operators will be swallowed up big time by the big players.

This was always likely over time but it is now urgent. It wouldn't surprise me if UKBetting is one of the targets (given UKB's announcement). Party already have Gamebookers but an extension of their non-poker interests ex-USA is sensible.

Rumours of PRTY's demise is a touch premature methinks. The poker world ex-USA has a lot of expanding to do. Remember that the USA move is wholly rampant protectionism. All this morality talk is political hogwash.

Fair enough, but approx 85% of PRTY revenue derived from the USA. They now have to return the stake money of all of those customers, some winners, some losers.
That leaves PRTY with a customer base of approx 15% of the original. Others now look to be in a stronger position, but I agree, PRTY not dead yet.
I wonder if they are regretting parting company with Empire Online way back.