Z Capital Partners, LLC, the private equity arm of asset management company Z Capital Group, LLC (ZCG), on Monday unveiled the merger of two of its affiliated portfolio companies, Affinity Gaming and Sports Information Group, LLC (SIG).
Affinity is a diversified national casino gaming operator, while SIG is a New York-based B2B and B2C global omnichannel sports, technology, digital, media and wagering business with an online and mobile presence in nearly 40 states.
Z Capital said the transaction will close in the coming weeks, creating a new entity to be known as Affinity Interactive. Terms were not disclosed.
SIG’s flagship brand, Daily Racing Form (DRF), has been one of the best-known sources of information in the horse racing industry since 1894. The company said DRF's website has become a heavily-trafficked destination as many bettors switch from print to digital for pre-race handicapping.
The DRF website includes information on horses’ past performances, exclusive handicapping tools, and access to DRF Bets, an online and mobile wagering platform.
SIG also offers sports data and digital analytics through its brand DRF Sports.
According to a statement by officials with Z Capital, the merger of Affinity’s regional casinos in Nevada, Missouri and Iowa with SIG’s technology, digital and media platforms and online betting presence, “will position Affinity Interactive as a leader in today’s gaming industry with a world class digital offering with significant growth opportunities.”
The company said Affinity Interactive will include an expanded suite of casino and online gaming offerings, including social gaming, mobile gaming, online gaming and sports betting. The combined company reportedly will leverage the DRF brand as it capitalizes on the continued momentum in sports betting and online gaming globally.
Mary Beth Higgins, CEO of Affinity Gaming, and Itay Fisher, CEO of SIG, will continue to lead their respective business units.
“This merger has been contemplated for quite some time, and with the expansion of online gaming in the US and abroad, we look forward to bringing together these two highly complementary businesses and leveraging their combined strengths to create a significant gaming, digital and media platform with even greater growth opportunities globally as Affinity Interactive,” James Zenni, founder, president and CEO of ZCG and chairman of Affinity Interactive, said in a statement, adding Affinity’s casino properties, coupled with SIG’s technology and proprietary sports data and intelligence, will create a gaming platform available to nearly one million customers worldwide. “We see significant growth in the sports and online betting industry, and we are confident that together these companies will be even better positioned to capitalize on the many opportunities ahead as Affinity Interactive.”
Higgins added, “For more than 125 years, DRF has been at the forefront of the gaming industry, and today’s announcement of combining our offerings with Affinity’s casino properties and sports betting licenses is yet another milestone in SIG’s iconic legacy. This transaction will position us to continue our growth, and we look forward to working with Itay and the SIG team to further deliver the best sports betting offerings for the benefit of our combined customers.”
