Bally’s Looks to Acquire Gamesys and World Poker Tour
Bally’s Corporation has been in the news a lot lately. They are currently working on a pair of acquisitions that could change the face of legal online gambling in the United States. First, Bally’s is looking to acquire the London-based Gamesys Group with hopes of expanding its reach for real money online casino gambling and sports betting.
Next, Bally’s is looking to acquire Club Services, the company responsible for the World Poker Tour. Bally’s has offered Allied Esports Entertainment $105 million for the company. The deal would make Bally’s an immediate player in the live poker tournament industry.
Bally’s Offers $2.7 Billion for Gamesys Group
Last Wednesday, Bally’s Corporation made an impressive move for London-based Gamesys Group. The company is offering $2.7 billion to acquire the company. Bally’s Board issued a press release on the matter saying that they reached an agreement on key terms of the deal. Under the deal, Bally’s will pay 1,850 pence per share for a total of $2.7 billion.
The statement clearly states that the offer is an intended offer and not a firm confirmation that a deal has been reached. The statement does state that the joining of the companies will benefit Bally’s as they are expanding their reach in the land-based and online casino industry. As the US continues to expand online gambling and sports betting, Bally’s is positioning itself as a major player in both.
If the companies do merge, the new company will be based in Rhode Island, the current headquarters for Bally’s. The combined group will also continue to be listed on the New York Stock Exchange. Also, Gamesys’ CEO Lee Fenton will become the new CEO of the group. Bally’s CEO George Papanier will continue with the company as a senior executive and remain on the company board.
Bally’s Looks to Acquire the World Poker Tour
The other piece of news to come out last week is a potential purchase of the World Poker Tour by Bally’s. Bally’s is looking to buy Club Services from Allied Esports Entertainment for $105 million. Initially, Allied was looking to sell the company to Element Partners, but after Bally’s offer, Element’s proposal becomes second best.
Element was then given until the close of business on Monday to submit a competitive deal to the company. Element then came through and offered the same amount for the company. As such Element is offering $105 million. The revised proposal was voted on and approved. In reports about the revised deal, Bally’s offer was no longer deemed as a superior offer. As such, the deal is expected to close by the end of April 2021.
What is interesting about the revised report is that Bally’s is not listed as having an option to up their offer for the company. It is uncertain to whether Bally’s is not interested in offering more or the company is getting ready to put together another offer.
Company Active After Name Change
Bally’s has continued to be aggressive in its expansion after Twin River purchased the Bally’s name from Caesars and rebranded late last year. Since that time, the company has been busy acquiring companies and other casinos in growing its brand.
While the deal is not confirmed, the Gamesys deal appears to be nearing the finish line. It will make Bally’s one of the key players for both iGaming and sports betting in the United States. As for the WPT deal, it is less important. While there is a lot of potential to grow the online component of the World Poker Tour, the fact remains that poker is nowhere near as profitable as online casino gambling or sports betting. Bally’s will be just fine if they abandon its pursuit of the WPT and focus its energies elsewhere.