Weeks after the biggest edition of the live World Series of Poker (WSOP) in history concluded, Caesars Entertainment is selling this brand to NSUS Inc, the parent company of online poker operator GGPoker. The deal is worth $500 million, with $250 million paid up front in cash and another $250 million to be paid due in five years.
GGPoker has been a partner with the WSOP for several years
GGPoker has been an active partner with the WSOP for the past several years, hosting online satellite qualifiers for the Las Vegas and WSOP Paradise events. During the COVID pandemic, the platform also hosted the WSOP International Online Series, which awarded 54 bracelets.
Eric Hession, President of Caesars Digital, commented: “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”.
Live WSOP events to remain at Caesars Las Vegas
While Caesars is selling the brand, it is not abandoning its events. Under the agreement, the summer series will continue to be held at Caesars Las Vegas. Regional Caesars casinos will also continue to offer World Series of Poker Circuit events.
Michael Kim, CEO of NSUS Group, noted: “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”.
Caesars Digital to Maintain Current WSOP Online Poker Markets in the U.S.
Caesars Digital will continue to offer WSOP Online poker in Michigan, Nevada, New Jersey, and Pennsylvania. The terms of the deal will allow Caesars to maintain WSOP-branded sites powered by the 888 platform. However, Caesars will not be able to expand into new online poker states like West Virginia “for a certain time and subject to certain exceptions.”
In May, Caesars announced it was consolidating players in Nevada, New Jersey, and Michigan and rebranding from WSOP.com to WSOP Online. Pennsylvania remains isolated as the state has not yet approved the consolidation of players into other markets.
GGPoker currently supports WSOP.com in Ontario, having launched its app in the province in April 2022.
GGPoker is currently the largest online poker site in the world
While GGPoker operates in regulated Canadian provinces, it does not yet have a presence in the United States. The group received a provider license in Pennsylvania in 2021, but has not yet launched any products there.
However, outside of the US, GGPoker operates in several countries and, according to PokerScout, has the largest cash game player pool in the world, surpassing previous leader PokerStars.
This growth has not been without its challenges, however: in 2022, the UK Gambling Commission fined NSUS nearly $750,000 for anti-money laundering and self-exclusion violations.
Caesars Says It’s Open to Selling ‘Non-Core’ Business Assets
The sale news comes a day after Caesars Entertainment’s earnings report, in which Hession noted that the company is always open to selling “non-core” business assets. He also summed up the brand’s performance for the company.
“The online poker does okay, but doesn’t make a huge amount of money, and then the royalty streams and the land-based casinos where the economics are, it makes between $20 million and $25 million for the year as a whole.”
While online poker hasn’t generated significant revenue for Caesars and the company hasn’t actively sought to expand its online brand outside of North America, there is potential for GGPoker to grow its online business. This could be done either through rebranding its existing sites or by launching WSOP-branded poker rooms in addition to the GGPoker platform, as was done in Ontario.
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