Since they burst onto the online gaming scene in 1997, 888 Holdings has grown steadily. From pioneers to market leaders, their meteoric rise has been fueled in large part by the sound business decisions of the group’s board of directors. Many of these decisions have involved the buyout and takeover of competing businesses, and last month 888 Holdings added another big name to its portfolio with the acquisition of Costa Bingo from the JPJ Group. The deal, which included other Mandalay Media games, totaled Â£ 18 billion and is expected to be finalized by the end of March 2019.
The Mandalay Media group had previously been acquired by the JPJ group, then called Intertain, in 2014. In 2018, it generated Â£ 11million in revenue for them, amounting to Â£ 3.7million, which means that if the brand’s success continues, 888 Holdings can expect a quick and significant return on its investment. For its part, the JPJ Group said it was happy with the investment opportunity, as it now allows it to âfocus on a more targeted branding strategyâ in the UK to promote its other online games.
888 Holdings has a long history of transactions in the online gaming market. The company first ventured into the world of bingo in 2008 when it launched its own bingo site aimed at women. With the aim of further developing in the market, they soon reached Wink Bingo, the successful deal saw the online bingo platform become the second largest of 888 Holdings. bingo brand with nearly 1,000,000 registered users worldwide. Wink Bingo has since become a household name in the UK thanks to a major marketing campaign which has attracted new players in droves. The fun and friendly atmosphere of the chat rooms and the variety of games have kept people coming back time and time again.
And their first investment paid off, proving a huge success almost immediately. In the first five weeks of adding Wink Bingo to their portfolio, 888 Holdings saw a 52% increase in the number of customers signing up to its sites and average daily operating income increased by 18% per year. compared to the previous 3 months. Clearly supported by this success, since 2008 888 Holdings has acquired six other bingo sites, including Posh Bingo, Tasty Bingo and most recently Red Bus Bingo. The purchase of Costa Bingo and its sister companies, including Wish, Sun, City and Fancy, means that they now own and manage a significant portion of the online bingo industry.
Although 888 Holdings started out as an online casino company, since diversifying into the bingo market, they have fully embraced the different atmosphere and have taken a close look at understanding the needs of their new customers. Eager to offer something more to their loyal customers, 888 Holdings has linked their largest bingo sites into their unique Joy of Bingo network. Players can earn Joy points and transfer their points between any 888 sites, or redeem them for virtual gifts and bonuses. It has proven to be a very popular addition to the bingo community.
They have also been busy developing software to give their games a technological edge. 888’s bingo software, Dragonfish, not only manages its own games, but is also licensed to other companies looking for the best place to host their games. They are now ranked among the top three online bingo software providers in the world for 2019. Just as they revolutionized the emerging online casino industry 20 years ago, 888 have now gone above and beyond to ensure that they are helping to shape today’s online gaming. bingo market, a marketplace that has seen continued success in recent years.
However, things were not so rosy for 888 Holdings. Despite being a Gibraltar-based company, their websites are accessible in the UK and therefore have been affected by recent changes to UK gambling laws. These laws were mainly focused on the promotion of responsible gambling, with gambling establishments, both physical and online, now having to show that they care for their customers in the same way that a bartender has a responsibility not to serve those. who are too drunk. . As a result, their UK income fell 18% last year, mostly due to a change in their practices as they look to work with the new regulations.
And yet the decision to buy Costa Bingo underpins their commitment to the online bingo market. 888 aren’t going to be deterred by a little bump in the road. Costa Bingo and the rest of the Mandalay Group have not been well served by JPJ in the past and have been viewed by industry experts as underperforming. 888 Holdings has the market experience and the capital to turn these great games into winners on par with their other brands. Tying these new acquisitions to their existing Joy of Bingo will bring them to the attention of thousands of potential new players, and they will almost surely benefit from a similar level of marketing as other famous 888 bingo brands. Mandalay group games will prove to be as successful and profitable as Wink Bingo. But judging by the rise in 888 Holding’s stock price after the deal was announced, it seems everyone is arguing that this is another hit for the online gaming giant.