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Pokerstars Atlantic City Casino Deal Dead
Wednesday May 1, 2013 : GLITCH IN POKERSTARS ATLANTIC CLUB ACQUISITION ATTEMPT (Update)
Time runs out on acquisition agreement due to licensing approval delays
The attempt by Pokerstars parent The Rational Group to acquire Atlantic City's Atlantic Club Casino in New Jersey has encountered a hopefully temporary obstacle due to delays in the licensing process.
The original January agreement between Rational and Atlantic Club Casino parent group Colony Capital LLC called for Rational to successfully achieve an interim casino licence from the New Jersey regulators by April 26 2013, a date that has since passed, rendering the agreement invalid, reports the Wall Street Journal.
That does not preclude Rational and Colony Capital from renewing their agreement, perhaps with more practical timelines, given the delays in licensing so far, and the attempts by the American Gaming Association to derail the Rational Group initiative.
The acquisition of Atlantic Club could position Rational strongly in the newly legalised online gambling regime in the state, and the apparent failure of the two parties to extend their deal ahead of the expiry date has sparked speculation that Colony may be pressuring Rational to up its offer for the troubled Atlantic Club business.
New Jersey regulators have said that the regulatory and licensing framework to support the new legislation could be ready for implementation as soon as November this year
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