Partygaming launches out of the online casino arena to take on one of the top Poker exhibitions, the World Poker Tournament. This tournament is part of America World Poker Tour Enterprises (WPTE).
Orignially the World Poker Tour Enterprises Incorporated entertained a bid from Gamynia Limited, where it then went through the motions of announcing the sale for a whopping, $9.075 million. The news broke in early August about the Antigua based casino company taking over the tournament.
However, the sale was not finalized as a new bid came in from top online gambling provider, Partygaming, one of the top in the online casino industry. This deal was then finalized, leaving Gamynia out in the dust.
“Buyer has also agreed to pay the company five percent of future gaming and other revenues as described in the purchase agreement from the use of the company’s brands by buyer,” read a statement from WPTE.
“Buyer has guaranteed that the company will receive at least an aggregate of three million dollars during the three years following the close under this future revenue sharing arrangement.”
“For the two-year period following the close, 20 percent of the proceeds from the future revenue sharing arrangement will be placed into an escrow account to settle the company’s indemnification obligations, if any, arising under the purchase agreement and the related ancillary agreements. The amounts deposited into such escrow account shall not be the sole source of recovery for the company’s indemnification obligations to buyer.”
Under these terms, Partygaming, known for their online gambling room, partypoker.com will pay $12.3 million. This figure will include a $1 million advance that will go towards paying Gaymnia for the bail out that occurred in August. As part of the poker deal, PartyGaming will send off 5% of the revenues that are made from the series, the brand and contracts.
