Gala Coral, which operates land based bingo clubs, casinos and online gaming operations is in talks with the software company Playtech about supplying the software platform to run its online bingo, sports betting and casino games.

Playtech have also been in similar talks with William Hill in relation to a joint venture deals. The bookmaker had applied for an injunction to stop the software provider from signing any other deals with industry rivals, however this dispute has now been resolved.

This has enabled Playtech to strike deals with other operators and it is reported that Ladbrokes is also considering a potential relationship.

‘Gala makes money on its online bingo but its sport betting really punches below its weight,’ said one source. ‘Now that Playtech is free to talk to other operators, everything pointed to a deal between it and Gala.’

Employees at Gala Coral have been told that any agreements reached could lead to job losses at the gambling giants IT department. Casualties may apply for positions at Playtech as it has been reported that the deal could great 100 new jobs at the software company.

While Gala Coral has debts of around £2 billion it is now expected that the company will look to wait until markets improve before selling off assets or breaking the company up. A bid for the bingo company has already been rejected by Gala Coral.