PartyGaming and Bwin create the largest online gambling company in the world

As the US lawmakers seem to reconsider the legislation for the online gambling in the United States PartyGaming and Bwin have agreed to merge. The merged company will be the world's largest listed online gaming company, with pro forma revenues for 2009 of €682m and earnings of €196m.

Under the terms of the merger agreement 48.36% of the joint company will be owned by PartyGaming shareholders and 51.64% owned by Bwin investors.

To date PartyGaming is strong in online poker and casino games, while Bwin is strong in sports betting, and streams the German premier league football. Bwin is especially known for its betting during live games.

PartyGaming is listed on the London Stock Exchange but is based in Gibraltar for tax reasons. It has operated since 1997 - when it floated in 2005 it was valued at £4.63bn. Today it trades at £1.2bn.