London-listed online gambling operator, 888 Holdings, has announced the signing of an agreement that is to see it spend some $28 million in order to acquire the remaining 53% stake in the All American Poker Network.
To grasp ‘growth opportunities’:
The Gibraltarian firm used an official Tuesday press release (pdf) to declare that the all-cash transaction for the online poker network is being carried out by its 888 US Incorporated subsidiary and is expected to be completed by the end of March to give it the flexibility to fulfill ‘multiple potential growth opportunities including developing new strategic partnerships’ across the United States.
New Jersey success:
888 Holdings explained that it joined with Avenue OLG Entertainment in March of 2013 to launch the All American Poker Network as a host for its United States-facing business-to-consumer brands. It detailed that its 888Casino and 888Poker brands premiered via the platform for players in New Jersey some eight months later while September saw its 888Sport sportsbetting service go live in ‘The Garden State.’
Getting ‘independent control’:
Itai Frieberger (pictured), Chief Executive Officer for 888 Holdings, stated that purchasing the remaining share of the All American Poker Network from Avenue OLG Entertainment will allow his firm to gain ‘independent control’ of its American business. He proclaimed that the deal is to moreover permit the iGaming operator to sign ‘new partnerships’ while continuing to premiere its proprietary business-to-consumer and business-to-business technology and products into newly-regulated markets.
Frieburger’s statement read…
“The acquisition of the remaining stake in the All American Poker Network is an important strategic step towards 888 Holdings achieving its exciting long-term potential in the United States. Taking outright ownership of the All American Poker Network gives 888 Holdings additional operational, technological and commercial flexibility to develop innovative and exciting new partnerships and launch in new states through both business-to-business and business-to-consumer channels as and when future regulation allows.”
New York Jets sponsorship:
To help promote its brands to players across New Jersey, last month saw 888 sign a sponsorship agreement with the New York Jets franchise of the National Football League (NFL). The season-long alliance involves the operator’s branding being prominently displayed during home games inside the team’s MetLife Stadium including as part of highlight clips displayed on giant video screens inside the 82,500-seat ground.
Shareholder appeal:
Frieburger further asserted that the acquisition of the All American Poker Network is set to place 888 ‘in an even better position’ as it looks to exploit ‘the significant growth opportunities’ that exist in the United States and provide shareholders with ‘additional value.’
Frieburger’s statement read…
“The All American Poker Network joint venture has been a very successful endeavor for the group. It has afforded us the flexibility and financial capability to build a position in the regulated United States market over the last five years while also investing in other global regulated markets.”