|
|
 Originally Posted by BennyLaRue
Right, but how many were still playing because they couldn't get their money out?
Say this all gets sorted out and everyone gets their money off of FT in a few months time. There are so many alternative rooms and so few restrictions for the remaining players to move money between them, what is a room's player base but a reflection of the loyalty of the customers? Do they still have that? Will they still have that after this?
You're American. I get that you are seeing it from the perspective of what's best for the players and the best hope for getting your money back. But look at this from an investor's perspective and you'll find the upside hard to come by.
Partypoker had $170mm in revenue from poker in 2010 and they are a third of the size of fulltilt poker post-black friday. FT could lose 2/3 of their customers and be about the size of party. Using a conservative multiplier, this would still be a billion dollar company even when figuring in $150mm in debts. When the vast majority of full tilt users have no idea about the issues, I dont know how anybody can say that having an investor swoop in and SAVE the company would cause them to lose more than 2/3 of their users. I can understand people leaving because FT left a bad taste in their mouths, but it would simply not be rational to leave a company once it got new management and became solvent.
A lot of investors stay away from distressed companies, but many others deal specifically with them and FT is no different than many other companies. This is one that has huge revenues and even if they lose the majority will continue to have huge revenues, and regardless of what you may think, they have a strong brand. FT will not get anywhere near their "true" valuation, but that doesnt mean it wouldnt be a significant amount of money and enough for Bitar to leave the company, especially with all the pressure he is surely feeling now.
Yes, I am an American who has a vested interest in getting paid back, and I have many friends with significantly more money than me on there and dont want to see them lose that either. However, I am also reasonably unbiased when it comes to business and others with the same objective understanding of business should realize that FT could stand to lose a huge amount of their player base and still be worth a significant amount of money. They are in a shitty position, thats clear, but things could get worse and they would still be a desirable investment under the right terms.
|
Reply With Quote
