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Posted on: June 13, 2021, 03:10h.
Final up to date on: June 13, 2021, 04:46h.
Todd Shriber Learn Extra
Affinity Gaming, the proprietor of the Silver Sevens On line casino in Las Vegas, is rumored to be nearing a $1.3 billion merger with Sports activities Data Group (SIG). SIG is the writer of the Every day Racing Type.
Silver Sevens On line casino in Las Vegas. Proprietor Affinity Gaming is merging with Sports activities Data Group. (Picture: Pinterest)
Affinity and SIG are managed by funding agency Z Capital Group. Ought to the wedding be consummated, the plan is to mix the regional on line casino operator and the web betting agency into a brand new firm often called Affinity Interactive. Information of the transaction was initially reported earlier in the present day by Bloomberg.
Citing unidentified sources with information of the matter, the information company studies Affinity Interactive may have practically a million prospects throughout the US. On the aforementioned $1.3 billion valuation, Z Capital is notching a giant win with SIG, which it bought in 2017 for lower than $100 million.
Final yr, rumors surfaced concerning the destiny of the Every day Racing Type, indicating that the venerable horse racing publication may change possession for the seventh time in simply over three many years. At the moment, DraftKings, Flutter Leisure, and Penn Nationwide Gaming have been reported to be potential suitors.
Along with Silver Sevens, Affinity owns Buffalo Invoice’s, Rail Metropolis On line casino, and Primm Valley Resort & On line casino in Nevada. It additionally owns the Lakeside Lodge On line casino in Iowa and the Mark Twain On line casino and St. Jo Frontier On line casino in Missouri.
Affinity SPAC Affect
In January, Affinity merged with particular goal acquisition firm (SPAC) Gaming & Hospitality Acquisition Corp. (NASDAQ:GHACU) with the intent of figuring out on line casino and sports activities wagering property to buy.
Because of the Affinity/SIG transaction, the SPAC will merge into Affinity Interactive and mix with one other, unidentified goal, in line with Bloomberg. Earlier regulatory paperwork point out the blank-check firm may pursue distributed gaming property or regional casinos.
“Goal companies that we’re centered on on this sector embody, however usually are not restricted to, regional gaming, distributed gaming, on-line gaming/sports activities betting, and the gaming expertise and tools,” in line with the SPAC.
Gaming & Hospitality Acquisition raised $175 million in gross proceeds in its February preliminary public providing (IPO) after upsizing the scale of that deal to fulfill robust demand.
Affirmation of the Affinity/SIG may emerge as quickly as this week. Ought to that occur, it could allay considerations a couple of softening SPAC market, as a result of Z Capital could be expressing religion that the brand new Affinity Interactive can successfully associate with Gaming & Hospitality Acquisition to find credible merger companions.
In current months, throughout all industries, the tempo of blank-check offers slowed, as market contributors grew more and more involved concerning the monetary energy and performances of de-SPACed corporations. Within the gaming business, talks between a sports activities betting knowledge supplier and a blank-check agency just lately collapsed.
Nonetheless, the expansion of iGaming and on-line sports activities wagering, coupled with operators’ need for media property, may bode nicely for Affinity Interactive’s quest to seek out corporations to accumulate.
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