The sale of the World Poker Tour’s entities to Element Partners has finally been completed, according to Allied Esports Entertainment.
The deal cost $105 million and included 100 percent of the outstanding capital stock of each of the legal entities that together operated or engaged in the company’s poker-related business and assets, as previously stated.
On July 1, 2021, Allied Esports Entertainment stockholders approved the acquisition at a special meeting.
The company will consist of its esports business, Allied Esports, and cash resources from the sale after the WPT business transaction is completed.
Frank Ng, CEO of Allied Esports Entertainment said: “This is a momentous day for AESE and an opportunity to focus on growing the business in exciting and innovative ways.
“Congratulations to Adam Pliska and his entire team at World Poker Tour as they too move into a new, successful chapter.”
A deal between the two parties for up to $78.25 million was first detailed in January 2021, with the anticipation of concluding in late January or early February 2021.
Following that, both Element Partners and Bally’s Corporation made competing bids, with the former amending its stock purchase agreement to increase the overall purchase price from $90.5 million to $105 million.
The change to the stock purchase agreement was unanimously authorised by the company’s board of directors. The board, in collaboration with its financial and legal advisors, reviewed the provisions of the amended stock purchase agreement to the terms of the proposal received from Bally’s to acquire the WPT Business for $105 million in order to approve the change.
Following this examination, it was found that Bally’s bid did not qualify as a “Superior Proposal,” as specified under the stock purchase agreement with Element.