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11/12/09 - Kentucky's major horseracing group, Churchill Downs Inc., has signed a $127 million agreement to purchase the Burbank, California-based online betting site
Along with its  existing online betting site Twin, the deal reportedly gives Churchill Downs almost half of the $14 billion horseracing market in the United States.
Online betting, made possible in US horseracing by controversial carve-outs in federal legislation, appears to feature high on Churchill's program, with chief exec Bob Evans saying he expects wagering to increase in future. Last year, about 10 percent of the $14 billion bet on horse racing in the U.S. was online.
The Youbet acquisition will be paid for by both cash and stock, with shareholders in the online company getting 97 cents a share in cash for each share, plus 0.0598 shares of Churchill stock. Based on Churchill's closing stock price of $31.57 on Wednesday, that gives a value of about $2.86 a share, or a premium of 19 percent.
Once the deal closes, Youbet shareholders will own 16 percent of Churchill stock.
Evans plans to maintain as an independent company, commanding around 30 percent of the total online market for betting on horse races, according to the Oregon Racing Commission. TwinSpires has about 21 percent.
The newly merged company's biggest competitor will be Betfair's TVG, which also has about 30 percent of the market.
There are some negatives in the Youbet package, principally the company's ownership of United Tote, which last year lost $11.2 million and owed $18 million in 2007, according to regulatory filings. And Youbet itself has lost money for the last three years, ending 2008 down $4.5 million.

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Gambling News :

Phil Ivey Loses Borgata Casino - Phil Ivey has lost in his four-year legal tussle with the Borgata over baccarat winnings; on Friday a US federal judge ruled that he and a companion violated New Jersey state gambling regulations in the manner in which they won nearly $10 million playing at the Atlantic City casino.

NYX Gaming in deal with Endemol - "Endemol Shine’s IP will be a strong addition to the NYX portfolio of content and we look forward to working together to bring additional instantly recognizable brands to market.”

NEW CAMBODIAN GAMBLING LAWS - After more than two years of debate and drafting, Cambodia may be closing in on final agreement regarding its proposed gambling law changes.

Congress To Review US SportsBetting Restrictions - Did the American Gaming Association’s campaign influence the decision to take another look at the 1992 Professional and Amateur Sports Protection Act?

Playtech Acquires ECM Systems - Online gambling soiftware provider Playtech plc has announced the acquisition of a ninety percent stake in UK bingo software developer ECM Systems for a consideration of GBP 14.9 million.

Marks and Spencer store Manager steals to Gamblie Online - The Cambridge News reports that a 28-year-old manager of a Marks and Spencer store, Martin Trenor, has been jailed for three years for stealing GBP 254,538.11 in shop takings over the course of a year and spending it almost immediately at online gambling websites.

Chinese Gambling crackdown could damage high roller revenue - Fast-moving events this week have seen Australian media reports quoting hundreds of millions of dollars wagered by Chinese high rollers in Aussie land casinos, offset to some extent by Crown claims that this whale gambler" demographic generates only 12 percent of turnover.

EvenBet Open Face Chinese Poker - Open Face Chinese Poker online games provider EvenBet has reported that its Open Face Chinese Poker product is gaining traction with games recently integrated for desktop action at the Malta-licensed operational site Poker Grant.

PartyPoker Millions tournament guarantee Now GBP 6 million - Online poker operator PartyPoker announced Thursday that it is to boost its PartyPoker Millions tournament guarantee by a million sterling to GBP 6 million, claiming it is now the biggest prize pool guarantee in European poker history.

2016 EPT Malta - The European Poker Tour is off to a good start in Malta, with German pro Dietrich Fast claiming a well-earned Euro 174,000 main prize in the Euro 10,000 buy-in Single-Entry Rebuy event.

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