Scientific Games Files a Lawsuit Against William Hill
Although the U.S. sports-betting market is still in development, the competition is getting tighter.
One of the main topics recently was the proposed acquisition of NYX Gaming Group by the U.S. gaming giant Scientific Games. At first, it seemed this was a done deal, until William Hill, one of NYX shareholders, threatened to use its share in the company to block the transaction.
Waiting For the Outcome
William Hill said it needed more details in regards to contractual rights it had obtained when it had enabled NYX to purchase OpenBet. William Hill owns and controls 6,800,000 ordinary shares of the company.
A little over a week ago, NYX Gaming Group filed a lawsuit against William Hill, claiming the British side conducted in a wrongful way regarding the proposed acquisition.
NYX added William Hill’s effort to block the acquisition will bring great harm to the regulated sports betting industry.
Now, Scientific Games will join this legal battle.
The Las Vegas-based company filed the lawsuit last Thursday in Nevada, also accusing William Hill of trying to prevent the move which will see another strong name awaiting the decision of the U.S. Supreme Court on the matter of sports-betting legalization.
Fear of Competition
The future of sports-betting in the U.S. will be resolved at the country’s highest court, while the hearing is scheduled to take place on December 4. New Jersey argues the PASPA act of 1992, which outlawed gambling in all states except Delaware, Montana, Nevada, and Oregon, is unconstitutional.
In its own lawsuit, Scientific Games stated that the acquisition of NYX would increase competition, which was exactly what William Hill feared.
On the other hand, William Hill said the company was protecting the interests of its own shareholders, describing its position on the whole deal as a perfectly reasonable one.