Boyd Gaming subsidiary acquiring California iGaming company
A subsidiary of Boyd Gaming Corp. is buying online gaming tech firm Pala Interactive LLC for $170 million, the Las Vegas-based casino company announced Monday.
The deal, expected to close in the first quarter of 2023, is subject to customary closing conditions and gaming regulatory approvals.
“The acquisition of Pala Interactive marks the next phase in the ongoing execution of our iGaming strategy, providing us full control over the technology, development and customer experience,” Boyd CEO Keith Smith said in a statement. “By integrating online casinos with our existing land-based operations, we will be able to further leverage and monetize our expansive customer database and the amenities of our nationwide portfolio of properties, driving growth in both our land-based and iGaming operations.”
Pala, California-based Pala has business-to-business and business-to-consumer platforms and provides proprietary real money and social gaming services in regulated markets across the United States and Canada. Pala Interactive’s technology includes its player account management system, casino, poker and social casino and poker platforms.
Smith said subsidiary Boyd Interactive Gaming Inc.’s acquisition of Pala won’t change its operations with New York-based fantasy sports provider FanDuel.
“Given our nationwide geographic distribution, significant database and established loyalty program, it makes sense for us to pursue a direct approach with our iGaming operations,” Smith said.
“By engaging directly with our guests and having the ability to personalize the customer experience, we are confident in our ability to create a cost-effective and profitable regional iGaming business,” he added. “While the acquisition of Pala Interactive supports our iGaming strategy, we remain fully committed to our sports-betting partnership with FanDuel, which has allowed us to participate in the nationwide expansion of sports-betting.”
Boyd Gaming shares, traded on the New York Stock Exchange, closed down 2 percent, $1.37, to $67.64 a share in average volume trading Monday. After hours, the stock was trending upward by 1.3 percent, 86 cents a share.
Contact Richard N. Velotta at rvelotta@reviewjournal.com or 702-477-3893. Follow @RickVelotta on Twitter.