US gambling giant Pinnacle Entertainment, Inc. won an auction Thursday to take over the combined assets of Federated Sports & Gaming, Inc., the parent company of the Epic Poker League.
The auction, which was ordered by a US bankruptcy court saw many industry giants take an interest in bidding for the assets. Pinnacle submitted a bid of $4.5 million for the assets to the company, whose assets included Federated Heartland Inc., the Epic Poker League, and the Heartland Poker Tour.
Earlier in the year Pinnacle owed FS&G $2.1 million and stood as one of the bankrupt company's largest creditors. Rumors have circulated that Pinnacle will offset the loan debt against the price that it bid for the assets.
Before FS&G went bankrupt the company accrued almost $8 million in debt while generating only $50,000 in revenues. Among the company's missteps? Registering more than 400 different web domains, including epicpokerfailure.com.
Pinnacle has not issued a public comment about what its plans for assets of FS&G.