Caesars Entertainment has agreed to sell the World Series of Poker (WSOP) brand and associated intellectual property to NSUS Group, operator of GGPoker, for $500 million.
The deal comprises $250 million in cash and a $250 million promissory note due five years post-transaction. Despite the sale, Caesars retains the rights to host the annual WSOP live tournament in Las Vegas for the next 20 years.
Caesars Digital will also receive a license from NSUS to continue operating its WSOP Online real-money poker business in Nevada, New Jersey, Michigan, and Pennsylvania “for the foreseeable future,” but will otherwise be restricted from operating online poker “for a specified period of time and subject to certain exceptions.”
In addition, Caesars’s brick-and-mortar poker rooms will continue to feature WSOP branding and will enjoy preferential rights to host live WSOP Circuit (WSOP-C) events going forward.
Eric Hession, President of Caesars Digital, said: “We’ve enjoyed a longstanding and successful partnership with GGPoker that has helped spur the growth of the WSOP brand. This transaction is an exciting step for Caesars as a company and the WSOP brand as it continues to evolve.
“We can’t wait to see what NSUS has in store for growing the WSOP’s legacy in poker, and we look forward to continuing to deliver an unmatched and familiar experience to poker players going forward.”
NSUS Group plans to leverage its technology to expand WSOP’s online presence globally. The sale comes two days after Caesars CEO Tom Reeg hinted at trading “non-core, nonoperating casino assets” in conversation with investors, as the operator tries to reduce its long-term debt of $12.4 billion.
Michael Kim, Chief Executive Officer of NSUS Group, said: “After collaborating with Caesars Entertainment for years, NSUS Group, the operators of GGPoker, is thrilled to announce their new role in leading the World Series of Poker, the world’s most renowned poker brand.
“We will leverage GGPoker’s cutting-edge technology and industry expertise to create an exciting future for WSOP, ensuring players have an increasingly improved, safe, and seamless poker experience. Under the new leadership, NSUS intends to expand WSOP worldwide, positioning it at the forefront of poker’s growth.”
The sale is expected to close before the end of 2024.
The WSOP, acquired by Caesars in 2004 from the Binion family, has evolved from a single Las Vegas event to a series of international tournaments and an online platform. The latest WSOP series, hosted at Horseshoe Las Vegas, featured 99 events with over $437 million in prize money.
In its second-quarter earnings statement, Caesars reported that the annual event generated between $20 million and $25 million in EBITDA.
The 2023 WSOP calendar shattered all tournament records on its way to awarding more than $400,000,000 in prize pools. The summer was highlighted by the all-time record field of 10,043 entrants in the Main Event won by Daniel Weinman, who earned $12.1 million with his victory.
Original article: https://www.yogonet.com/international/noticias/2024/08/02/74029-caesars-sells-world-series-of-poker-brand-to-ggpoker-parent-nsus-for-500-million
