1059 GMT [Dow Jones] The proposed merger between PartyGaming (PRTY.LN) and Bwin (BWIN.VI) makes sense, a Daniel Stewart analyst says. The analyst also says consolidation in the sector has been well-forecast. "This has been coming for a long time now." Says the tie-up has earnings growth potential and can generate huge cost savings. Adds the potential opening of the U.S. online gaming market is providing a catalyst to companies in the sector with a diversified gaming offering. PartyGaming shares +23% at 315p, Bwin +12% at EUR39.91. (simon.zekaria@dowjones.com) Contact us in London. +44-20-7842-9464 Markettalk.eu@dowjones.com (END) Dow Jones Newswires July 29, 2010 06:59 ET (10:59 GMT)