Protecting the lifeblood of the industry, the players
Daily fantasy sports operator FantasyDraft will cover some of the owing FantasyAces' outstanding player balances following the company's filing for bankruptcy.
InfoPowa readers will recall Fantasy Draft recently walked away from an acquisition proposal with Fantasy Aces following the completion of a due diligence process; shortly afterwards Fantasy Aces filed for bankruptcy.
According to a Fantasy Drafts statement, the company has entered into talks with the FantasyAces bankruptcy trustee in which it would "obtain player account and balance information in order to help in reimbursing missing FantasyAces player funds".
FantasyDraft chief executive officer, Steve Krombolz, said in the statement that the proposal covers reimbursements to most Fantasy Aces players of up to $1000 in cash to cover missing account balances.
Those players with larger balances between $1000 and $5000 have been offered $1,000 cash plus the remaining balance in FantasyCash up to $4,000.
Players with a Fantasy Aces cash balance greater than $5,000 will receive $1,000 Cash plus $4,000 in FantasyCash plus a pending bonus for the remainder of their balances which is earned at a rate of 4 percent for each $1 in entry fees paid in USD, and is paid as FantasyCash.
"As members of the DFS community committed to doing things the right way, we feel that we need to do our part to protect the lifeblood of the industry, you the players. So, we have decided to get involved," Krombolz concluded.
In a long overdue message on the FantasyAces landing page, the company explained its plight saying it had spent over a year attempting to secure long-term capital but had ultimately failed leaving it with an "unresolvable financial burden".
"We fought as hard as we could, in the end without a major infusion or acquisition we just were not able to make it".
Online Casino News Courtesy of Infopowa
