Allied Esports Entertainment Sells World Poker Tour for $78 Million
Allied Esports Entertainment has opted to divest its poker holdings, including the renowned World Poker Tour (WPT), to Element Partners, LLC. The transaction is estimated at $78 million.
Element Partners will provide an initial payment of $68.3 million, with the balance of $10 million payable over a three-year period following the finalization of the agreement. As a stipulation of the arrangement, Allied Esports will maintain a 5% share of entry fees generated from events carrying the WPT brand.
This divestiture enables Allied Esports to concentrate its resources on the digital entertainment sector, encompassing online gaming and other initiatives. The company even intends to undergo a rebranding to signify this strategic shift.
The WPT enjoys global recognition, organizing tournaments across five continents and distributing over $1 billion in winnings. Its television and online broadcasts attract over 1.5 billion viewers. Despite the pandemic compelling the WPT to primarily function online in 2020, the brand demonstrated resilience and continued to flourish.
Allied Esports Entertainment CEO, Frank Ng, acknowledged the demanding conditions while emphasizing the WPT’s notable accomplishments.
Adam Pliska, CEO of the WPT, conveyed his appreciation for Allied Esports’ backing and expressed enthusiasm for the brand’s prospects under new stewardship.
