Wynn Resorts reportedly sells sports betting unit at a steep discount

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Wynn Resorts reportedly sells sports betting unit at a steep discount

Wynn Resorts Limited, NASDAQ: WYNN, is reportedly selling its online sports betting unit, Wynn Interactive, at a steep discount.

What happened to the WynnBet gaming app operator in Las Vegas: The asking price has been cut to $500 million, which is significantly lower than the $3 billion valuations it received less than a year ago, according to a person familiar with the matter.

The deeply-discounted sale took place just six months after Wynn publicly prepared WynnBet for a spring debut, the Post noted.

Why It Matters: Former basketball player Shaquille O'Neal was reported to be WynnBet's new brand ambassador in August.

It was reported at the time that O Neal would be selling his ownership stake in the Sacramento Kings to comply with National Basketball Association rules in order to promote WynnBet.

In November, Wynn Resorts and Bill Foley-owned special purpose acquisition company Austerlitz Acquisition Corp. NYSE: AUS announced that they had mutually agreed to terminate a previously announced merger plan.

Craig Billings, CEO of Wynn Interactive, said at the time, "We are focusing our user acquisition efforts on a more targeted ROI-focused strategy because of the elevated marketing and promotional spend in the sports betting industry. Price Action: Wynn Resorts shares traded 1.7% lower at $85.65 over 24 hours in the regular session. The shares fell 1.2% to $84.65 in the after-hours trading.

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