Billionaire David Einhorn Makes a Big Bet on PokerStars

Picture courtesy: WSOP

David Einhorn, founder of Greenlight Capital, purchased recently nearly 4 million shares of Amaya (parent company of PokerStars) stock. The shares are estimated to be worth around $50 million currently.

Einhorn is known to be avid poker player himself and the hedge-funder has had few deep runs in big poker events like the 2006 WSOP Main Event and 2012 $1 million buy-in WSOP One Drop event. To this date, he has donated over $5 million of his WSOP poker winnings to charity. However, after buying nearly 4 million shares of the parent company of PokerStars, Einhorn has no charity in mind.

The popularity of online poker has been on the decline for a while now, and it is believed Einhorn has seen the potential of using the PokerStars brand to expand into other verticals, such as online casino, sportsbook, and Daily Fantasy Sports (DFS).

As we know, PokerStars has already done just that and Einhorn seems to strongly believe, that Amaya's shares will be much higher in a few years.