Published
OnlinePokerFinancial

Amaya creates new financial agreement with former PokerStars owners

Amay

PokerStars
a Gaming, Canadian poker operator, has signed a new financial agreement with Isai and Mark Scheinberg, former owners of PokerStars. On 1 February, Amaya was due to pay off its debt of US$197.7 million. Under the new deferred payment deal, Amaya has to pay three months’ worth of non-refundable late fees in order to push back the deadline.

Back in 2014, Amaya acquired PokerStars, managed by the Scheinbergs, for US$4.9 billion. Amaya had paid US$4.7 billion for Rational Group’s assets with immediate cash and deferred payments. The Canadian company were given a deadline of 1 February to pay the outstanding $200mn.

Assenting to postpone the deadline, the Scheinbergs “agreed not to enforce during 2017 their right under the original merger agreement to cause Amaya to use commercially reasonable efforts to issue equity to finance any outstanding balance of the deferred purchase price.”

The new agreement with the Scheinbergs will allow Amaya to deposit the available cash throughout 2017 in order to pay off the debt completely, which will avert “incurring on additional term debt, amendment fees and associated costs and expenses.”

Rafi Ashkenazi, Chief Executive Officer of Amaya Inc., comments: “We believe that our current plan speaks to the strong cash flow generation of our business model and will allow us to continue investing in the success of our business while meeting our pre-existing contractual obligations to the former owners. Based on our operations and performance in 2016, we are confident in our ability to repay the balance of the deferred purchase price in a timely manner.”
Premium+ Connections
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
 
Premium
 
Premium Connections
Consultancy
Executive Profiles
Chicken Ranch Casino
The Responsible Gambling Affiliate Association (RGAA)
Catena Media
Gambling Commission
Follow Us
The most prestigious Awards in the industry are heading to the Philippines! The Global Gaming Awards Asia-Pacific will recognise and reward (as the name suggests) the strongest performers from the Asia-Pacific gaming industry across the previous 12 months.
This year's winners will be announced at a luncheon ceremony on Day 2 of SiGMA Asia, 4th June, in Manila.
The eleventh annual Global Gaming Awards Americas will recognize and reward the gaming industry's strongest performers across the previous 12 months. These are the most prestigious and trusted Awards in the industry and have gained respect amongst industry heavyweights, due to the strict rules and procedures put in place.

Facing Facts: Operator Q3s from across the globe

Gambling Insider compares Q3 2023 results from major gamblin...

Taking Stock: Operators and suppliers across the world

Sticking with our theme of gambling across the globe, Gambli...

CEO Special: Jade Entertainment and Gaming CEO Joe Pisano - down to earth

Jade Entertainment and Gaming CEO Joe Pisano speaks to Gambl...

CEO Special: Betfred CEO Joanne Whittaker - saying it as it is

Betfred CEO Joanne Whittaker joins Gambling Insider Editor T...