Playtech made an investment in Hard Rock Digital of $85m. This has secured a “low single-digit per cent equity ownership stake”.
The transaction is subject to shareholder approval and the group expects to see contributions to B2B revenues starting in 2024. This is because HRD continues its expansion across existing and new starters.
The unaudited gross assets of Human Resources Development were $69.4 million as of December 31, 2022. However, the unaudited net loss after tax attributable to HRD was $76.3 million for the twelve months ended December 31, 2022.
Mor Weizer is the Playtech CEO. He said that “The Playtech team was thrilled to announce our strategic partner with HRD. Hard Rock International is a global marquee brand in the world of gambling and entertainment.
“HRD will bring together the strength of the global brand and a proven management team. Some of these people we know from Playtech for many years, and they are among the best in the online gambling world.
“This partnership is a significant advance for Playtech in the North American market, and it aligns with our B2B strategy.”
Hard Rock stated that the proceeds will be used primarily to finance expansion in further US states as they become available as well as to fund “select” markets internationally over the next few years.
Hard Rock is offering online and retail sports betting and Igaming in select US states. This includes Arizona, Indiana and Iowa.
“This partnership will act an accelerator for Hard Rock Digital’s planned strategic initiative, expanding its online gaming offerings into international markets, becoming a first operator with a worldwide omni-channel offering under one singular, irreplaceable brand,” stated Jim Allen Chair of Hard Rock International, and Chair of the Board of HRD.
“This announcement reinforces our commitment in leading innovation in the gaming sector and expands the ‘Hard Rock” experience worldwide. We are looking forward to offering a digital experience that is authentic and engaging for Hard Rock’s worldwide fan base through an omni-channel platform.”
The two have also announced an expanded partnership, where HRD customers will be able to access the company’s igaming content, which includes live dealer tables, RNG, and slots.
These products can also be enjoyed outside the USA and Canada. The group will also use Playtech’s IMS platform for player management and certain ancillary service including customer support, operational, and marketing services.