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Waterhouse VC celebrates continued high returns; looks to Brazil and betting syndicates for future growth

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Tom Waterhouse, Chief Investment Officer of Waterhouse VC, the specialist investment fund for the global betting and gaming sector, heads to the U.S. again to look for new opportunities at G2E off the back of revealing another successful summer of investments.

The fund recently converted an option in cutting-edge crypto betting technology company Saintly. In February 2023, Waterhouse VC signed a three-year option to buy 20% of the top-tier platform, an option that was bought out in August for 2,180% above the option conversion price. This meant an extraordinary 23x return on the position within six months.

“I feel like we have a very good understanding of the products going into the online betting world and what will work” Tom Waterhouse, whose family has been involved in the betting industry for more than 100 years.

Since its inception in August 2019, Waterhouse VC has achieved a gross total return of 2,422% as of 30 September 2023, assuming the reinvestment of all distributions. To maintain rigorous standards, the fund’s team scours the gaming sector for disruptors and niche-leading businesses worldwide.

Over the past few months, Brazil has been a particular area of interest. Another one of the current opportunities that Waterhouse VC is participating in is Betscanner. Much like an Oddschecker for crypto betting, Betscanner will compare odds for sporting events offered by crypto operators and is leveraged to benefit from the growth of both crypto betting and the Brazilian market.

Another investment that the fund is excited about is an emerging professional betting syndicate run by Tom Dry. After working for Tony Bloom, the world-renowned football betting pro and owner of English Premier League powerhouse Brighton FC, Dry developed his own tennis betting strategy. Waterhouse VC saw that the syndicate’s operational metrics were very impressive and the fund took the view that Dry had the ability to further scale the team, increase liquidity in tennis and also expand into other sports.

Waterhouse VC will continue to analyse the betting and gaming sector for further opportunities, with G2E being just the next step in this process.

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Caesars Entertainment Closes Sale of the LINQ Promenade

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Caesars Entertainment announced the closing of the previously announced sale of the LINQ Promenade to a joint venture formed between TPG Real Estate (TPG) and the Investment Management Platform of Acadia Realty Trust (Acadia) for $275 million. Concurrent with the closing of the transaction, Caesars made a $275 million voluntary prepayment of the Term Loan B due 2030 with the proceeds from the transaction.

Latham & Watkins LLP and Brownstein Hyatt Farber and Schreck LLP represented Caesars on the transaction. Kirkland & Ellis LLP provided transaction counsel to TPG & Acadia.

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The Stampede Continues with Aristocrat Interactive’s Buffalo Gold Max Power

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Aristocrat Interactive, Aristocrat’s online Real Money Gaming (RMG) division, announced that the stampede continues with the launch of Buffalo Gold Max Power in the US. This marks the fifth online game in the award-winning and iconic Buffalo portfolio, following the success of Buffalo, Buffalo Gold Collection, Buffalo Chief, and Buffalo Gold Revolution.

Buffalo Gold Max Power builds on the legacy and popularity of Buffalo Gold, a fan-favorite in land-based casinos. This online adaptation is born to entertain with new features powered by Aristocrat’s proprietary Max Power mechanic, offering players up to 46,656 ways to win free spins and collect Gold Buffalos. With dynamic reels that vary from 2 to 6 symbols on every spin and a redefined feature, Buffalo Gold Max Power is ready to create a stampede of excitement.

“For more than a decade, our iconic Buffalo games have captivated players as some of the most iconic slot games in land-based casinos. With Buffalo Gold Max Power, we’re bringing this timeless favorite online with enhanced gameplay and features that players will love. The launch in New Jersey is an exciting milestone as we continue to deliver innovative and memorable gaming experiences globally,” said Josh Morris, SVP Content at Aristocrat Interactive Content & Aggregation.

Earlier this year, Buffalo was awarded the winner of the Top Performing Omni-Channel Slot at the EKG Awards. The launch of Buffalo Gold Max Power is the latest step in Aristocrat Interactive’s strategy to expand Aristocrat’s industry-leading content portfolio into the online space. The game is currently available with online operators in New Jersey, Ontario, Canada and the UK, with more markets to follow overtime.

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Compliance Updates

JCM Global Receives Approval to Operate in West Virginia

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JCM Global announced that it has successfully passed regulatory review and received a manufacturer’s license from the West Virginia Lottery Commission. The license enables JCM to directly sell to and service customers in the state.

“At JCM, we are committed to our customers. While attaining licensing was not required, we pursued it because it allows us to directly provide JCM’s leading technology and advanced systems, backed by our world-class service, and support, resulting in faster service times and simplifying the entire relationship between JCM and our customers,” said JCM SVP – Sales, Marketing & Operations Dave Kubajak in a statement.

JCM recently announced it has attained licenses in Colorado and New Mexico, bringing the company’s total number of active gaming licenses to 177.

In West Virginia, JCM will provide technology, including the iVIZION bill validator; ICB Intelligent Cash Box System, which boosts security and efficiencies across the gaming floor; and the GEN5 thermal printer, which delivers TITO, personalized promotions, and rewards directly to the player.

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