It appears that the fate of the World Series of Poker, along with iPoker operations in Nevada and New Jersey, has been determined -- at least for now.
According to Online Poker Report the sale of Caesars Interactive Entertainment to Giant Interactive Group (GIG) will not include the World Series of Poker brand.
This means that Caesars Entertainment will retain the WSOP, at least for now. It is unclear whether the company will continue to operate the WSOP or try and sell the product to another company.
CIE to Be Sold to $4 Billion
According to the report, GIG will pay around $4 billion to acquire CIE from Caesars.
Caesars Entertainment Operating Company is in the middle of a hotly contested bankruptcy proceeding and there are fears that the rest of the company may get dragged down into bankruptcy as well.
Despite the $4 billion price tag on CIE, CEOC still has over $20 billion in debt alone.
In addition, the OPR report stated that one arm of Caesars, the Caesars Acquisitions Company, will be virtually worthless after the sale of CIE.
CAC has a 50% stake in CIE, and after the sale CAC will have an estimated net worth of negative $450 million.
What Does This Mean for the WSOP?
For now, it appears that things will continue "business as normal" for the World Series of Poker and its associated online brands.
While the WSOP is the most public product of the company, and possibly one of the more successful, the company may be forced to explore selling that brand in order to prevent other arms of the company from going into bankruptcy.
The World Series of Poker is now a worldwide brand that includes the tournament series in Las Vegas as well as the Circuit series through the United States and now internationally.
WSOP.com currently operates in Nevada and New Jersey and the company is partnered with 888 Holdings to offer combined online poker services to Delaware.
The real question is how much that the WSOP brand will be able to bring Caesars if it chose to sell the brand.
Harrah's Entertainment, now Caesars, purchased Binions Horseshoe in 2004 and acquired the rights to the World Series of Poker. Since that time the event has grown into a global phenomenon.
Considering its financial struggles it's hard to see Caesars retaining the WSOP for much longer. While we're certain it doesn't want to get rid of the product, sometimes hard decisions have to be made for the greater good of a company.