Bally’s Terminates Its Asian Business to Its Own Employees
In a decision that signals a commitment to focus on its core markets, Bally’s Corporation has agreed to sell its Asian interactive business to a group of its own employees.
With merger looming, Bally Corp. agrees to sell its Asian business interests.
Sale Part of Shuffling Prior to $4.6 Billion Merger with Standard General
Bally’s will sell off Asian business interests it owns and operates under Bally’s Interactive ahead of an anticipated merger with Standard General, which is seen as a lifeline for this beleaguered gaming and media company.
Earlier this year, Bally’s agreed to a $4.6 billion merger with Standard General, a capital investment firm founded by Soohyung “Soo” Kim. Bally’s has indicated it will tighten operations following sluggish financial reports over the last several years.
The company said in a press statement, that the “transaction is intended to allow Bally’s to focus its capital and resource allocation on North American and European business, and this carved out business will benefit from focused management attention and aligned ownership.”
Also, this year, Bally secured a little more than $2 billion in funding that will shore up cash reserves as the company pours efforts into a casino/resort in downtown Chicago.
The merger of Bally’s with the New York-based Standard General will operate under the publicly traded company The Queen Casino & Entertainment Inc., with a focus on gaming and entertainment in North America. The merger is expected to be completed in the first quarter of 2025.
Standard General’s The Queen Casino & Entertainment Inc. owns and operates four casinos in Illinois, Indiana, and Iowa. A Chicago casino has long been a dream for many in Illinois and is expected to be a popular tourist attraction in the nation’s third-largest city.
Who and How Will Manage the Former Bally’s Assets?
A yet-unnamed company will be created to manage the former Bally’s Corp’ assets in Asia. It’s not known which Bally’s employees are leaving to helm the effort. Jen Nguyen, the Director of Asian Marketing, did not return an email inquiry.
The issue of intellectual property developed and owned by Bally’s will be handled via a license agreement that will extend five years, the company said in a press release.
Perhaps as a condition of the merger with Standard General, Bally’s divests itself of the Asian segment of its operations. It will apparently make a clean break from those markets.
