|Youbet.com has announced its intention to buy all issued and outstanding shares of the struggling company American Wagering Inc, and its wholly owned subsidiary Leroy’s Horse and Sports Place. Both of the troubled companies are currently operating under Chapter 11 of the Bankruptcy Code. Youbet is aiming to obtain approval in order to purchase all shares for an overall fee of US$9.5 million, with around half to be paid for in cash, and the remainder paid for by using Youbet common stock. |
American Wagering In, owns and operates Computerised Booking Systems inc- a company which supplies nearly 85% of the computer systems used by Nevada casinos for sports wagering. Another branch of the company is AWI Manufacturing In, which makes, distributes and supplies race and sports self-service wagering kiosks. Leroy’s Horse and Sports Place also operates in Nevada, responsible for the state’s largest network of sports and race wagering facilities, based in 49 locations. Plans had been announced for this branch to expand its number of locations to 60 by the end of this year.