|Youbet.com the largest Internet provider of thoroughbred, quarter horse and harness racing content in the America, is seeking to buy out American Wagering, Inc, the company behind Leroy's Horse and Sports Place, for 9.5 million. Leroy's Horse and Sports Place operates Nevada's largest statewide network of sports and race wagering facilities in 49 locations and files for Chapter 11 bankruptcy last year.|
Youbet Chairman and CEO Charles F. Champion commented on the proposal, 'An acquisition of AWI would be consistent with our stated goals of expanding into ancillary areas of the gaming and wagering industries where we can leverage our existing capabilities and infrastructure capacity while diversifying our sources of revenue. If completed, the acquisition would also enhance Youbet's entry into the Nevada market where we believe there are opportunities to work on various business initiatives with casino operators.'
Mr. Champion concluded, 'We believe our offer represents an excellent financial and strategic proposal not only for AWI's creditors and shareholders but for Youbet shareholders as well. By combining the operations of two leaders in their respective sectors, we can continue our track record of serving customers of wagering and entertainment products and services, while realizing the operating efficiencies inherent in combining the companies' overheads. The stock component of our offer would allow current AWI shareholders to participate in the future of the combined entity and our plans for further growth.'