World Poker Tour flotation raises $32 million
World Poker Tour Enterprises is reported to start its initial public offering and trading on Tuesday, raising $32 million by offering 4 million shares at $8 a share. This price is higher than was expected on the eve of the trading.
According to Onlinecasinonews.com, the company will trade on the Nasdaq under the symbol WPTE. Money generated from the event will be invested in working capital, capital expenditures and the repayment of outstanding debts amongst the company’s three divisions: WPT Studios, WPT Consumer Products and WPT Corporate Alliance.
The company is going to use their current market strength for its capitalization. So far, WPT become Bravo’s most highly rated show due to new TV and film production concepts. According to Fool.com, the company is accounted for the bulk of Lakes’ $4.7 million in second-quarter revenue.
Experts say that tournament poker has already established itself as a mainstream sport and this activity is commercialized. But WPT has developed its strong position among other similar shows such as “Celebrity Poker Showdown” on General Electric’s Bravo and a variety of shows on News Corp’s Fox Sports Net, the weekly showings of Harrah’s Entertainment’s 2004 World Series of Poker (WSOP) on Disney’s ESPN.