Shares in the Toronto-based Intertain Group Ltd., parent company of InterCasino and InterPoker online gaming brands, have increased more than 200 per cent since it went public in February at per share. Intertain offers online games such as blackjack, roulette and Texas hold ‘em primarily for players in the British market.
At the time of a review by six analysts who called the company a “buy,” the stock was trading around $13.80. The consensus price target over the next year is $14.34, according to S&P Capital IQ. Eyal Ofir of Clarus Securities said, “You’re paying the higher end of the range, but you’re gaining the upside of additional mergers and acquisitions.”
Intertain went public following its purchase of the InterCasino assets from technology company Amaya Gaming Group Inc. The company started its expansion by buying the British online bingo website company Mandalay Media, and this month agreed to buy online casino operator Vera & John, which operates in Nordic countries.
Intertain Chief Executive Officer John FitzGerald said the company’s goal is to make two acquisitions each year to expand the business and to focus on games catering to the female demographic, such as bingo and slots. He said he believes that strategy will distinguish the company apart from male, sports-focused competitors. Fitzgerald added Intertain plans to expand across Asia, Mexico, Central and South America. For now it will avoid Canada until online gambling laws there are clarified, as well as the U.S. until online gambling is legalized in more states.
