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ZEN Entertainment, the Nevada-based company behind the prominent network of free-play subscription poker sites, has filed for Chapter 11 Bankruptcy, pokerfuse can reveal.
ZEN, the name behind such online presences as Cardplayer Poker, Southpoint Poker, UFC and Jamie Gold’s FreeGoldPoker, admitted in its filing that its business model was “unsuccessful.”
It failed to turn a profit since inception, and borrowed over $16m in the last three years in hopes that regulated online poker in the US would give value to its 750k strong player base.
Chapter 11 bankruptcy provides the troubled company with breathing space to find a better solution for its creditors. After six months trying and failing to sell the technology platform, ZEN has proposed doing a deal with NYX Gaming Group, Ltd.
If the bankruptcy judge agrees to the plan for Chapter 11, NYX Gaming will become the sole shareholder and put up $695k attempting to rescue the company by finding outside investment. If it fails, it will own the technology platform and attempt to sell it itself.
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The collapse of ZEN Poker Isolation Bet Entertainment into Chapter 11 bankruptcy will not be subscription poker sites, has filed for Chapter 11 Bankruptcy, pokerfuse can reveal. If UFCPoker offers a Mac download version at some point we will update that information on this page.
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