Intending to strengthen its offerings in international online bingo markets, Playtech, the online gaming software company, has bought the bingo company, Virtue Fusion.

Playtech will be paying an initial amount of £29m, in cash, and up to £7million in the first quarter of 2011, based on the performance of Virtue Fusion, in 2010.

"We see this acquisition as not only furthering what is already Playtech's competitive advantage in the growing online gaming market as a whole, but as having the potential to generate meaningful opportunities in newly regulated markets", said Mor Weizer, Playtech's CEO.

"A combination of industry growth, a good trading update at the end of January and some interesting partnerships and acquisitions has helped lift Playtech's shares by 21 percent in the last three months," said Daniel Stewart analyst, James Hollins.

Playtech expects the deal to win new licensees, in 2010 to add to its own bingo offerings.

Playtech's shares have been reported to be up by 2.1%, valuing the company at about 1.15 billion pounds.