Boyd Gaming Corporation, a renowned American casino games provider, has declared signing a contract that will see Boyd Interactive Gaming Incorporated subordinate pay $170 million to acquire Pala Interactive LLC, an iGaming platform provider.
The American casino operator made this announcement in a Monday press release. It stated that the arrangement will end in Q1 2023.
Even so, it will depend on when it will receive all the necessary regulatory approvals. Boyd Gaming will finance the deal using its current credit arrangement and cash on hand.
What is Boyd Gaming's Takeover Tactic?
The casino operator is currently in charge of 28 brick-and-mortar gaming properties in ten American states. It stated that this transaction will include all Pala Interactive LLC subsidiaries. Even so, it will need to fulfill many customary closing conditions.
The Nevada-based casino firm added that the new acquisition will promote its iGaming strategy by giving it instant access to a wide array of real-money and social online gaming solutions that other leading Canadian and American operators are utilizing.
The Acquisition's Benefits
Keith Smith is the Chief Executive Officer and President of Boyd Gaming Corporation. He explained in this week's press release that Pala Interactive LLC's current business-to-business(B2B) and business-to-consumer(B2C) technologies run to the casino, poker, social platforms, and player account management systems.
Smith further explained that the portfolio will complement his firm's iGaming platform by adding a wide variety of managed services and allowing it to improve its personalized customer experience to directly interact with players.
He said that Boyd Gaming Corporation's acquisition of Pala Interactive LLC will mark a new phase in executing its iGaming strategy. Thus, it will offer it full control over customer experience, development, and technology.
The casino operator will integrate online casinos with its brick-and-mortar operations to monetize and leverage its broad client database and many amenities available in its properties. This will promote growth in its iGaming and land-based operations.
A Settled Scenario
Pala Interactive LLC was founded in 2013, and it provides different iGaming companies in eight American states with B2B services. Still, it runs B2C offerings in Canada and New Jersey.
The company's headquarter is in Pala's San Diego suburb, and it has the ability to offer integrated online sports gambling platforms alongside many marketing support tools.
The Application's Advantages
Smith stated that it is logical for Boyd Gaming Corporation to buy Pala Interactive LLC due to its amazing loyalty program, crucial database, and countrywide geographic distribution. It currently applies a direct approach in its iGaming operations.
The official predicted that this will gradually allow the expanded casino operator to build a profitable and cost-effective regional iGaming enterprise. Smith said that even though buying Pala Interactive LLC will back up its iGaming strategy; it is still committed to its sports gambling corporation with the FanDuel Group.
The partnership has allowed Boyd Gaming Corporation to take part in expanding the country's sports betting industry. The casino firm is anticipating welcoming Pala Interactive LLC team to its workforce and developing a successful iGaming business in the future.