Key points:
- Bally’s to divest its interactive business in Asia and other markets
- Intellectual property associated with the business will be licensed for five years
- The transaction aligns with Bally’s strategy to streamline operations and focus on core markets
Bally’s Corporation has entered into an agreement to sell its interactive business in Asia and selected international markets.
The business will be acquired by a new company formed by members of its management, reflecting Bally’s strategic decision to concentrate on North American and European operations.
The agreement involves placing certain intellectual property in trust, with a five-year licensing deal for the buyer.
Bally’s will also provide transition services aimed at facilitating a smooth transfer. Financially, the impact on Bally’s adjusted EBITDA and free cash flow is expected to be minimal.
Any modest decline is anticipated to be mitigated by cost reductions aimed at streamlining Bally’s organisational structure.
Ownership and management alignment are key goals of this divestment, enabling focused operations in the newly formed entity while allowing Bally’s to optimise its capital and resources in core markets.
In July 2024, Bally’s secured $2.07bn in funding for its Chicago Casino and Hotel Tower project and completed a $4.6bn merger with Standard General, incorporating The Queen Casino & Entertainment properties into its operations.
