NetPlay nurses loss on Abstract deal
INTERACTIVE gaming specialist NetPlay TV is nursing a big loss on a business running premium-rate telephone services which it is selling for £1.
The AIM-listed Lancaster company had agreed to pay up to £3.5m for Abstract Games in 2007.
Today it reached a settlement with Abstract’s vendors to pay £1.1m on top of £1.5m it has already paid them, and then to sell it back to them for just £1.
Abstract had been progressively slimmed down this year, and had assets of just £2,289 upon disposal.
The sale follows NetPay’s decision to exit premium rate telephony business as it focuses on winning contracts to provide late-night interactive gambling products for broadcasters such as Channel 5 and STV.
Netplay TV operates brands such as Supercasino.com, ChallengeJackpot.com and Bingos.com.
The company said today it had completed the purchase of quiz and mobile casino services from Info-Download and a deferred consideration of £250,000 would be paid today via the issue of 961,538 shares at 26p.
