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Bwin/Party Share price has declined 26 percent this year
Tuesday November 4,2014 : BWIN.PARTY SHARES CONTINUE TO TUMBLE
Share price has declined 26 percent this year. See what happens when you screw over advertising partners.
The UK newspaper The Independent highlighted the continuing plight of online gambling group Bwin.Party Digital Entertainment this week, pointing out that the company's share price has declined 26 percent this year amid falling profits.
On Monday the share price fell another 10.2p to 89.65p after a brief rally earlier this year on news that the company was cutting costs.
The latest fall has been attributed to fears that new European Union tax measures may have an adverse impact.
"New VAT rules for digital businesses, which take effect from January 1, mean the tax will be charged based on where the customer is, rather than the company's registration," the newspaper reported.
"Deutsche Bank thinks Bwin.Party will be the worst hit. It is registered in Gibraltar, where there is no VAT, and 26 percent of its first half revenues came from Germany, where the rate is 19 percent."
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