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Las Vegas From Home In Mexican Gambling Deal
Wednesday July 30,2014 : LVFH IN CODERE PARTNERSHIP FOR ONLINE GAMING IN MEXICO
New company to be incorporated in Mexico
Las Vegas From Home (LVFH) has entered into and executed a letter of intent with Codere Group and its partner Salinas TV Azteca Group (The Mexican Partnership) for online gaming in Mexico.
A new company (NEWCO) will be formed, 51 percent owned by Codere and 49 percent by LVFH.
Under the terms of the agreement, LVFH will receive a 25 percent share of profits from the Mexican partnership, will licence its gaming platform to NEWCO and receive ongoing software royalties for the exclusive and sole use of the platform by the Mexican Partnership.
LVFH will pay a consideration of US$ 4 million for its share in the development and marketing of the new venture.
President and CEO of LVFH, Jake H. Kalpakian, commenting on the deal said: "We are thrilled at this development, as LVFH shall now be associated with a leading Multinational Gaming Company such as Codere and with a multimedia conglomerate such as Azteca.
“LVFH shall benefit significantly from this enviable position of participating legally in the huge Mexican iGaming Market and with the opportunity of being able to get involved in other countries in the Americas where online gaming is legal."
The partnership's online gaming website greenplay.mx is expected to launch later next month (August) carrying LVFH's latest HTML5-based games accessible across all major platforms.
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