MONTREAL, Dec. 17, 2015 /CNW/ - Amaya Inc. (NASDAQ:
AYA; TSX: AYA) today provided clarity regarding a dispute in the
Commonwealth of Kentucky relating
to certain activities of the PokerStars business during a period
between 2006 and 2011, approximately three years prior to Amaya's
acquisition of the brand. Amaya believes the action is
frivolous and without merit.
This civil proceeding was initially filed in 2010 under an
antiquated 18th century Kentucky statute. The Commonwealth claims that
it is entitled to recover alleged losses of Kentucky residents who played real-money poker
on the PokerStars website during the period between October 12, 2006 and April
15, 2011. A similar action filed against PokerStars in
Illinois was dismissed by that
court earlier this year.
During the five year period at issue, PokerStars generated
aggregate gross revenues in the Commonwealth of Kentucky of approximately US$18 million. Nonetheless, the Commonwealth
sought an award as high as US$290
million and requested it be trebled. The trial court
subsequently indicated that this amount is incorrect and has not
yet entered a final order awarding damages. Any such final order
would be subject to appeal.
Amaya intends to vigorously dispute any liability that may be
ordered at the trial court level, and believes that there are a
number of compelling legal arguments reserved for consideration,
including, without limitation, the lack of standing to bring this
proceeding in the name of the Commonwealth and the Court's failure
to properly apply the law.
To the extent the PokerStars entities may be ultimately
obligated to pay any amounts pursuant to a final adjudication
following exhaustion of all appeals and other legal options, Amaya
intends to seek recovery against the former owners of the
PokerStars business.
About Amaya
Amaya is a leading provider of technology-based solutions,
products and services in the global gaming and interactive
entertainment industries. Amaya owns gaming and related consumer
businesses and brands including PokerStars, Full Tilt, StarsDraft,
the European Poker Tour, PokerStars Caribbean Adventure, Latin
American Poker Tour and the Asia Pacific Poker Tour. These brands
have more than 97 million cumulative registered customers globally
and collectively form the largest poker business in the world,
comprising online poker games and tournaments, live poker
competitions, branded poker rooms in popular casinos in major
cities around the world, and poker programming created for
television and online audiences. Amaya, through certain of these
brands, also offers non-poker gaming products, including casino,
sportsbook and daily fantasy sports. Amaya has various gaming and
gaming-related licenses or approvals throughout the world,
including from the United Kingdom
, Italy , France , Spain , Estonia , Belgium , Denmark , Bulgaria , Greece , Ireland , Romania , the Isle
of Man , Malta , the State
of Schleswig- Holstein in
Germany , the Province of
Quebec in Canada , and the State of New Jersey in the United States.
Cautionary Note Regarding Forward Looking Statements
This news release contains forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995 and
applicable securities laws, including, without limitation, certain
expectations and projections related to legal proceedings.
Forward-looking statements can, but may not always, be identified
by the use of words such as "seek", "anticipate", "plan",
"continue", "estimate", "expect", "may", "will", "project",
"predict", "potential", "targeting", "intend", "could", "might",
"would", "should", "believe", "objective", "ongoing", "assumes",
"goal" and similar references to future periods or the negatives of
these words and expressions and by the fact that these statements
do not relate strictly to historical or current matters. These
forward-looking statements are based on management's current
expectations and are subject to a number of risks, uncertainties,
and assumptions, including market and economic conditions, future
plans and strategies, projections, anticipated events and trends
and regulatory changes that affect us, our customers and our
industries. Although Amaya and management believe that the
expectations reflected in such forward-looking statements are
reasonable and based on reasonable assumptions and estimates, there
can be no assurance that these assumptions or estimates are
accurate or that any of these expectations will prove accurate.
Forward-looking statements are inherently subject to significant
business, economic and competitive risks, uncertainties and
contingencies that could cause actual events to differ materially
from those expressed or implied in such statements. Such
risks and uncertainties include those identified under the heading
"Risk Factors and Uncertainties" in Amaya's Annual Information Form
for the year ended December 31, 2014
and in its Management's Discussion and Analysis for the period
ended September 30, 2015, each
available on SEDAR at www.sedar.com, EDGAR
at www.sec.gov and Amaya's website at www.amaya.com,
and in other filings that Amaya has made and may make with
applicable securities authorities in the future. Investors are
cautioned not to put undue reliance on forward-looking statements.
Any forward-looking statement speaks only as of the date hereof,
and Amaya undertakes no obligation to correct or update any
forward-looking statement, whether as a result of new information,
future events or otherwise, except as required by applicable
law.
SOURCE Amaya Inc.