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#1 Ranking A Business Asset?


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6 replies to this topic

#1 Alan Perkins

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Posted 06 May 2005 - 02:49 PM

QUOTE
Acquisition of Gambling.com
The board of Gaming Corporation plc ("Gaming Corporation"), the owner of the UKs number 1 gaming website www.casino.co.uk, announces the acquisition of Newbold Enterprises Limited (“Newbold”) the owner of Gambling.com.
...
Gambling.com is the number 1 listing on google.com for “Gambling” search and has over 500 other internet and affiliate sites linking to Gambling.com globally.
...
The consideration for the acquisition of Newbold is US$20million (£10.5million) to be satisfied as to US$15.3million (£8.0million) in cash and US$4.7million (£2.5million) in new ordinary shares.
Emphasis added. It's been a while since I saw a #1 ranking listed in this context! I wonder what part that ranking played in the consideration ...

#2 lyn

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Posted 06 May 2005 - 03:43 PM

The due-diligence on that would pretty interesting. How would you put a valuation on something that rides on a changeable ranking formula or the "ethics" of the SEO provider? (If any...)

L.

#3 storyspinner

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Posted 06 May 2005 - 04:30 PM

QUOTE(lyn @ May 6 2005, 03:43 PM)
The due-diligence on that would pretty interesting. How would you put a valuation on something that rides on a changeable ranking formula or the "ethics" of the SEO provider? (If any...)

L.
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That's my question too ... its this type of industry (along with prescription drugs, porn and financial stuff) that cause the spamming that the SE's abhore .. with their black hat techniques. They are the reason that they are constantly tweakin' the algos......

interesting find Alan.. thanks for sharing!

#4 Jill

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Posted 06 May 2005 - 04:35 PM

But if it changes hands, I wonder if Google will remove the ranking? This will be interesting to watch. Can you imagine...they pay that much for the ranking, and then Google removes it because of all the publicity!

#5 Randy

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Posted 06 May 2005 - 09:26 PM

That is an interesting question Jill.

The rumor has been that Google will do that for Expired Domains that changed hands. I wonder if they'll do it in this case even if the domain never technically expired, just changed ownership?

#6 Alan Perkins

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Posted 07 May 2005 - 03:43 AM

I just found it very interesting to see the discussion of a single term on a single search engine in the context of a press release about the acquisition of one company by another. Recent (and not-so-recent) events have shown how fragile rankings can be, especially when somebody starts flying them above the radar as this press release does. IMO it would be unwise to place a value on any ranking - especially a single term on a single search engine - for the purposes of evaluating a company. Even if you did, it would be very unwise to trumpet it.

#7 Jill

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Posted 07 May 2005 - 07:59 AM

Yep, I agree completely, Alan.




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