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Daily fantasy sports (DFS) giant PrizePicks reportedly hired investment bank Moelis & Co. to hunt for acquisition opportunities.

Bloomberg broke the news late Thursday, citing unidentified sources with knowledge of the matter. One of the sources told the outlet the gaming company’s isn’t positioning to sell itself. The Atlanta-based DFS operator is privately held.

PrizePicks says it’s the largest DFS company in North America and that assertion could be credible because the operator and some of its rivals found avenues for gaining business from DraftKings and FanDuel — the forefathers of the DFS industry.

PrizePicks differs from its entrenched rivals in notable fashion. A competitor building a lineup on DraftKings or FanDuel is aiming to accumulate as many points as possible. But on PrizePicks, the projected fantasy points for each player are posted on the platform, and gamblers build their lineups and then wager on the over/under of those points estimates.

Potential Targets for PrizePicks

With PrizePicks reportedly not looking to sell itself, attention turns to what type of targets the company could consider. For now, it’s just speculation, but there is an array of assets and gaming operators PrizePicks could evaluate.

Last August, Underdog Sports founder Jeremy Levine accused DraftKings and FanDuel of using political sway to convince lawmakers in various states, including some in which sports betting is not permitted, that the games offered by Underdog, PrizePicks, and comparable firms amount to another form of wagering, not DFS.

It is clear that PrizePicks is in expansion mode. In April, the company announced plans for a new 33,000 square-foot Atlanta headquarters, adding that it intends to boost the size of its workforce by 1,000 over seven years, estimating the economic benefit to Georgia at $25 million.

PrizePicks Has Impressive Investor Roster

PrizePicks sports an impressive list of investors. A 2020 funding round valued at $850,000 led by Parlay Capital Holdings included poker legend Phil Hellmuth. The founders of Poker Central and former NBA No. 1 draft pick Andrew Bogut became PrizePicks investors in January 2021. Former Atlanta Braves star Andruw Jones has been an investor in the DFS firm since 2019.

Another 2021 funding round saw former Atlanta Falcons quarterback Matt Ryan and Olympic gymnast Gabby Douglas join the company’s investor roster.

A Series A funding round valued at $8.67 million was conducted in March with Phoenix Capital Ventures listed as the primary investor, according to CB Insights. AMJ Ventures and Las Vegas-based Australis Capital are also among PrizePicks venture investors, according to Tracxn.

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Shares of Everi (NYSE: EVRI) and International Game Technology (NYSE: IGT) surged Friday after Apollo Global Management (NYSE: APO) emerged as a surprise bidder for Everi and IGT’s global gaming and PlayDigital arms. The private equity firm offered $6.3 billion for those businesses.

In February, IGT and Everi announced a $6.2 billion deal in which the pair of the lottery giant’s units would merge with Everi. Apollo slightly topped that price in what is the largest announced acquisition this year in the gaming industry. Under the terms of the deal, Apollo will pay $4.05 billion in gross proceeds to IGT and $14.25 a share to Everi investors — a 56% premium to that stock’s July 25 closing price. Rumors surfaced last September that Apollo was interested in the IGT assets.

The acquisitions of IGT Gaming and Everi by the Apollo Funds are cross-conditioned. The transaction is subject to customary closing conditions, including the receipt of regulatory approvals and approval by Everi stockholders, and is expected to be completed by the end of the third quarter of 2025. IGT shareholder approval is not required for the transaction,” according to a statement.

Everi is scheduled to release second-quarter results on Aug. 9, but due to the Apollo announcement, the slot machine manufacturer will not host an earnings conference call. IGT will proceed with its earnings call on July 30 because it remain a publicly traded company focusing on lottery operations and sales following the Apollo transaction.

Apollo Deal Appears Better for IGT Investors

In June 2023, IGT announced it was considering strategic alternatives for its global gaming and PlayDigital units. At that time, it was expected that IGT’s slot machine business alone could fetch $4 billion to $5 billion in a sale.

“Post-transaction, IGT is a better-capitalized lottery pure-play. Overall, solid lottery industry and company-specific trends continue, in our view, with potential new innovations to drive SSS ahead (potential Mega Millions price increase, etc.),” wrote B. Riley analyst David Bain in a note to clients today.

When the Apollo transaction is completed, IGT will change its name and stock ticker, “becoming a premier pure play lottery business,” according to the statement.

Deal Could Be Harbinger of More Gaming M&A

Apollo is familiar with the gaming device business  as it was previously the largest investor in PlayAGS (NYSE:AGS), which is also in the process of being acquired. The private equity firm liquidated that stake in November 2022.

Bain says the deal with IGT and Everi could be a sign of more gaming industry consolidation activity to come because buyers can find targets that are more valuable than current share prices imply.

“We continue to believe active M&A in the gaming industry demonstrates intrinsic values are much greater than current public valuations,” added the analyst. “Apollo is well-known by both investors and the gaming industry, and we believe it is well-suited (and capitalized) to assist in the combination of IGT and EVRI and support the combined company’s strategic initiatives. Net, we believe IGT Gaming and EVRI are stronger with Apollo.”

Indeed, Apollo is familiar to gaming investors as the private equity firm is frequently tied to an array of industry takeover rumors and it currently operates the Venetian on the Las Vegas Strip as well as other wagering assets.

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Boyd Gaming (NYSE: BYD) executives said they’re open to acquisitions, but they didn’t specifically mention Penn Entertainment (NASDAQ: PENN) on their company’s second-quarter earnings conference call on Thursday evening.

There was no direct mention of Penn on the call. Speculation that Penn is a takeover target has intensified since late May when investor the Donerail Group wrote a letter to the regional casino operator’s board of directors, excoriating them for allowing costly missteps in online sports betting and not adequately capitalizing on land-based casinos. The shareholder also advocated for a sale.

On June 20, reports surfaced that Boyd was mulling a takeover bid of at least $9 billion for its rival, but since then, neither company has confirmed takeover talks, nor has Penn expressed interest in selling. Boyd CEO Keith Smith acknowledged that the company’s growth has been aided by smart acquisitions.

I think we’ve developed a great expertise at it. We know how to buy properties right, companies right, we know how to extract value out of these companies once they’re part of our portfolio,” Smith said on the call in response to a question from Stifel analyst Steven Wieczynski. “Look, we’ve always been willing, it’s not new news, to take a hard look at opportunities that arise. And so, we’ll continue to do that.”

Wall Street analysts have widely noted that Boyd acquiring Penn is highly unlikely, but the rumor lives on and is a significant part of the reason shares of Penn rallied in June.

How Boyd Could Afford Penn

How Boyd could finance any acquisition, whether it’s for a single venue or an entire company, depends “on the specific facts and circumstances around the transaction,” added Smith. CFO Josh Hirsberg said the operator has specific long-term leverage targets it wants to meet.

“To the extent that we were to leverage up to do some sort of transaction or pursue some sort of opportunity, whether it was a development opportunity or acquisition or anything of that nature, we have set a long-term leverage target of to be below 3 times traditional leverage in the neighborhood of where we are today,” said the Boyd financial boss in response to the Wieczynski question. “And so, we would have the objective of getting back to that level very quickly.”

Although that’s a healthy premium to Penn’s closing market capitalization of $2.71 billion on Thursday, it’s believed the operator would reject such an offer.

Real Estate Could Be a Factor for Boyd

Another reason why Boyd could be reluctant to pursue Penn is that the former owns the bulk of the real estate on which its casinos reside, and it prefers that model when making acquisitions. Conversely, Penn has opted for the operating company (opco) model, and has sold off its gaming real estate.

We talk or think about kind of OpCo/PropCo, we still prefer from an M&A standpoint to buy wholeco assets,” said Smith in response to a query from JPMorgan analyst Joseph Greff. “That is more difficult today because most assets are part of an OpCo/PropCo structure. And so, we’re certainly willing to do that. We did it with the Pinnacle assets that we bought several years back.”

Any prospective buyer of Penn would have to consider the operator’s long-term lease agreements with Gaming and Leisure Properties (NASDAQ: GLPI), which owns most of the land on which the operator’s casinos are situated.

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Shares of Bally’s (NYSE: BALY) are higher by more than 25% in late trading after the regional casino operator accepted an increased takeover offer from hedge fund Standard General.

The acquisition bid values the gaming company at $18.25 per share, a more than 20% increase to the suitor’s original offer of $15 a share floated in March. Standard General’s new offer represents a 71% premium to Bally’s 30-day volume-weighted average price “prior to the initial Standard General proposal.” The proposed deal assigns an enterprise value of $4.6 billion to Bally’s.

After a detailed consideration by the Special Committee, with the assistance of our outside financial and legal advisors, it was determined that the Cash Consideration from Standard General delivers a meaningful and immediate value to stockholders,” said Jaymin Patel, chairman of the special committee tasked with evaluating the offer, in a statement.

Bally’s investors have the option to accept the $18.50 per share offer or retain their equity and remain investors in the soon-to-be privately held company. Standard General has already invested $500 million of the takeover cost.

Standard General Raised Offer for Bally’s, Still Below 2022 Bid

While Standard General — the hedge fund that’s Bally’s largest shareholder — increased its offer for Bally’s, it’s still far below the $38 per share acquisition overture made in March 2022.

“The transaction provides Bally’s stockholders with a significant cash premium along with certainty of value for their investment or, if they elect to retain their shares, the opportunity to participate in the longer-term growth prospects of our expanded portfolio and significant development pipeline,” said Bally’s Chairman and Standard General founder Soo Kim in the press release.

Related to the deal, Sinclair Broadcast Group (NASDAQ: SBGI), which became a Bally’s shareholder in late 2020 when the gaming company agreed to reportedly pay $85 million over 10 years to put its name on the media group’s regional sports networks, said it will support the takeover. That means “at least 47% of Bally’s outstanding fully-diluted equity interests will be rolled over into the combined company.”

How Bally’s Could Look Post-Acquisition

Under Standard General ownership, Rhode Island-based Bally’s will join Queen Casino & Entertainment Inc. as the hedge fund’s casino holding. Queen Casino owns four casinos — DraftKings at Casino Queen in East St. Louis, Il., the Queen Marquette in Marquette, Iowa, and the Queen Baton Rouge and the Belle of Baton Rouge in Baton Rouge, both located in the Louisiana capitol.

“Bottom-line, we view the deal as likely frustrating for shareholders shortly following SG’s $38/share offer, but ultimately see BALY as better suited for what is essentially private ownership given high leverage & Standard General’s close involvement in capital allocation and long-term strategy,” noted Stifel analyst Jeffrey Stantial.

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Golden Nugget Lake Tahoe in Stateline, Nev. along the California border is set for a complete overhaul of the resort casino.

Billionaire Tilman Fertitta’s Fertitta Entertainment Inc. acquired the former Hard Rock Hotel & Casino Lake Tahoe last year from Paragon Gaming for an undisclosed price. Both entities are privately held.

Appearing before the Nevada Gaming Control Board (NGCB) to receive the state’s go-ahead to renovate the hotel-casino, Golden Nugget Lake Tahoe General Manager Jason Sides said “every square foot” of the property will be touched during the revamp.

Resort Overhaul

Sides didn’t specify how much capital Fertitta Entertainment is plowing into the Lake Tahoe property, but it’s presumably tens of millions of dollars.

We have big plans for the property with significant capital investment,” Sides explained. “ We’re going to touch basically every square foot of the property.”

Sides’ boss, Mr. Fertitta, told the same board after filing acquisition paperwork in 2023 that he saw the Hard Rock property “as a great opportunity” to expand his casino portfolio.

We will take this property and totally transform it,” Fertitta told the NGCB. “And, as we always do, add the Golden Nugget name to it. We expect it to be one of the top properties in the [South Shore Lake Tahoe] market.”

The Golden Nugget Lake Tahoe renovation will see each guestroom made over. Rooms will remain available throughout the undertaking, though at reduced capacity as one hotel tower will remain open while the other is renovated, and vice versa.

Two new restaurants — Mastro’s Steak House and Saltgrass Steak House, which are under Fertitta’s Landry’s umbrella of hospitality brands, are also part of the resort redo.

The casino floor will see interior enhancements and upgrades of the gaming venue’s 500 slot and video poker machines. New table games are also forthcoming.

Sides says the company believes the work can be completed by early next year.

South Shore Gaming Market

Along with Golden Nugget, South Shore Lake Tahoe is home to three other casinos — Harvey’s, Harrah’s, and Bally’s. Over the past 12 months, the four casinos won about $248.6 million, a 1.2% year-over-year decline.

After purchasing the tract, Fertitta had the Travelodge and retail strip mall that occupied the acres demolished.

In addition to his spending in Nevada, Fertitta’s organization began a major overhaul of its Atlantic City Golden Nugget in February that involves all 700 guestrooms being upgraded.   

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Second-quarter earnings season is rolling along and gaming technology companies will soon take their turns in the earnings confessional. The trends are expected to be solid though not spectacular.

In a note to clients previewing upcoming reports from gaming device manufacturers, Stifel analyst Jeffrey Stantial said Light & Wonder (NASDAQ: LNW) and PlayAGS (NYSE: AGS) are likely to beat estimates for the June quarter while International Game Technology (NYSE: IGT) should meet Wall Street forecasts. Everi (NYSE: EVRI) could miss estimates. IGT is merging its global gaming and PlayDigital units with Everi in a $6.2 billion deal announced in February. That should clear up the IGT investment thesis, putting more focus on the company’s highly profitable lottery segment.

For IGT, our proprietary lottery sales tracker shows still muted ‘core’ sales, though content phasing & a potential Mega Millions price adjustment should bolster growth beginning in 2H24,” wrote Stantial.

The analyst rates IGT a “buy” though he noted second-quarter sales of lottery tickets and scratchers likely trended lower.

“We believe soft core lottery trends mostly reflects well-discussed jackpot fatigue, though ongoing softness in low income consumer spend and implications from persistent inflation & higher gas prices bear watching,” said the analyst. “Based on our analysis of weekly Powerball & Mega Millions sales data, we estimate sales of multi-state jackpot games were inline year-over-year.”

Attractive Valuations Available Among Gaming Tech Stocks

Shares of slot machine manufacturers are mixed this year, but there are some standouts. For example, Light & Wonder is up 28.71% since the start of 2024.

“Forward 1-year enterprise value/earnings before interest, taxes, depreciation, and amortization (EV/EBITDA) multiples are -37% to -17% below long-term averages ex-LNNW, on Street estimates that seemingly embed stable casino gross gaming revenue (GGR) and North American slot replacement cycle,” according to the analyst.

Stantial observed that it’s possible slot supplier stocks could benefit from lower interest rates, but added stock selection in the group will be paramount going forward.

Gaming Tech M&A Outlook Subdued

There have been signs of elevated consolidation activity in the gaming technology industry this year, namely in the form of the aforementioned IGT/Everi merger and Brightstar Capital Partners $1.1 billion offer for PlayAGS, which has been opposed by some investors. Last week, Evolution AB announced it’s buying Las Vegas-based Galaxy Gaming for $85 million.

In aggregate, those deals highlight appetite among buyers for gaming tech firms, but a more competitive headwinds for smaller suppliers and depressed valuations on small-cap consumer cyclical stocks could keep a lid on large-scale mergers and acquisitions activity over the near-term.

“While we don’t envision further large-scale M&A for our direct supplier coverage, we believe elevated M&A activity should help provide a floor for valuations while changes in ownership/execution on integration will need to be closely monitored for market share opportunity/risk,” concluded Stantial.

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Just over three years after acquiring the Vegas Sports Information Network (VSiN) from Musburger Media, DraftKings (NASDAQ: DKNG) is selling the sports betting radio network back to the original owner.

Financial terms of the transaction weren’t disclosed. DraftKings paid $70 million to purchase VSiN in March 2021. VSiN founders Brian Musburger and Bill Adee will take the reins of sports wagering media property moving forward.

VSiN will continue to deliver the news, analysis, and insights that bettors need to inform their betting decisions, with 18+ hours of unique sports betting content each day,” according to a statement issued by the buyer.

VSiN is based in Las Vegas and broadcasts from the sportsbook at the Circa Resort and Casino in downtown Las Vegas.

Announcement Arrived Soon After VSiN Sale Rumor Appeared

The official announcement of the VSiN founders buying the media entity from DraftKings arrived less than three weeks after rumors to that effect surfaced.

That could merely speculation for the simple reason that neither the buyer nor the seller are publicly commenting on the sale price.

“DraftKings continues to optimize its investments in content and media to align with the most critical areas and needs of our business strategy, objectives, and goals,” said Stephanie Sherman, chief marketing officer at DraftKings, in the statement. “We want to thank Brian, Bill, and the entire team at VSiN for a great relationship, and we look forward to continuing to advertise on the network.”

How VSiN Could Look Post-DraftKings

It’s not yet clear if there will be immediate changes at VSiN following the separation from DraftKings, but the radio network could potentially more swiftly capitalize on growth opportunities as a freestanding company with the founders regaining operational control and editorial autonomy.

“In addition to its 24/7 stream, VSiN’s original content is accessible through multiple video and audio channels including YouTube TV, Rogers’ Sportsnet, NESN, AT&T Pittsburgh, Marquee Sports Network, a dedicated channel on iHeartRadio and TuneIn, as well as more than 300 terrestrial radio stations throughout the country, and its growing slate of podcasts,” according to the statement.

In the early days of the US sports wagering boom, deals between gaming and media companies were common with thesis being that media outlets could serve as effective customer acquisition tools for operators.

On the other hand, some large-scale media acquisitions by gaming companies have been panned by analysts and investors, indicating that the primary issue is the ability of the buyer to wring profits out of an acquired media company. DraftKings’ play for VSiN wasn’t met with such derision, but it’s possible the decision to sell the radio network could result in cost savings. DraftKings delivers second-quarter results on Aug. 1 and it’s possible the gaming company could elaborate on the decision to sell VSiN on its Aug. 2 conference call.

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Cherokee Nation Entertainment, the casino gaming arm of the Native American tribe of the same name, doesn’t operate a Las Vegas venue, but it’s not opposed to the idea over the long-term.

In remarks made earlier Saturday at the National Council of Legislators from Gaming States (NCLGS) in Pittsburgh, Cherokee Nation Gaming Commission Chairman John Sparks said the Tribe isn’t looking to enter Las Vegas “just yet.” However, Sparks did not say the Tribe is permanently opposed to eventually coming to the US casino center.

Currently, Cherokee Nation runs eight casinos in Oklahoma and is widely viewed as the frontrunner to land a gaming license in Pope County, Ark. Just over two years ago, the Tribe paid MGM Resorts International $450 million for the Gold Strike Hotel & Casino in Tunica, Miss.

Cherokee Nation Would Need Likely Acquisition to Get Las Vegas Casino

Cherokee Nation Entertainment is one of the largest Tribal gaming entities in the US and thus likely has the financial resources to eventually make a move into Las Vegas, which almost certainly need to be accomplished via acquisition.

Additionally, some analysts believe that high interest rates are a headwind to casino mergers and acquisitions activity because many prospective buyers don’t want to finance deals at elevated borrowing costs. It’s possible that the Federal Reserve will lower borrowing costs in September, but it could take more than a single cut to galvanize gaming industry deal-making.

Over the past several years, the bulk of the scuttlebutt regarding Strip casino hotels that could change hands has centered around mid- and lower tier properties. It’s not clear if such venues would be to Cherkoee’s liking or if the Tribe would prefer something glitzier.

Assessing Las Vegas Tribal Landscape

With Mohegan Gaming & Entertainment out as the casino operator at the off-Strip Virgin Hotels Las Vegas and with the closure of the Mirage, the lone Sin City gaming venue run by a Native American tribe is the off-Strip Palms, which is owned and operated by the San Manuel Band of Mission Indians of California.

Assuming no acquisitions or new from the ground up developments, the Las Vegas Tribal roster will increase to two in 2027 when Hard Rock International reopens Mirage bearing the operator’s famous brand.

At the NCLGS conference, Cherokee’s Sparks did not reveal a timeline for the Tribe entering the Las Vegas market.

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Las Vega Strip trends remain sturdy and that’s good news for MGM Resorts International (NYSE: MGM) and Caesars Entertainment (NASDAQ: CZR). Looking elsewhere in the gaming industry, a near-term takeover of Penn Entertainment (NASDAQ: PENN) appears unlikely.

Those are the takes of Truist Securities analyst Barry Jonas. MGM and Caesars are the two largest Strip operators and while the US casino center is displaying signs of resilience, but the stocks have not displayed much in common of late. Over the past month, shares of MGM are higher by 12.16% while Caesars is up just 1.22%. Year-to-date, the Bellagio operator is sporting a small gain while Caesars is lower by 22%.

Some of the lag in Caesars stock, which analysts are acutely aware of, is the result of state-level performances that trail rival MGM, according to Jonas.

We believe this is largely a function of management’s playbook of efficiently managing promos/margins, as opposed to anything structural/permanent,” observed the analyst.

Jonas added some market participants have thrown in the towel on Caesars stock, but that gloomy outlook ignores the potential for management to materially reduce debt — an effort that could be assisted by asset sales — and growth outlets in the form of new regional casinos in Nebraska and Virginia as well as the refurbishment of the operator’s New Orleans integrated resort.

Boyd Probably Not Moving on Penn Over Near-Term

In his report, Jonas also discussed several regional casino operators, including those with heavy Las Vegas locals exposure. Boyd Gaming (NYSE: BYD) was part of that conversation.

“We think the complexity of a transaction (likely involving multiple parties, requiring multiple divestitures as well as consent from landlord Gaming & Leisure Properties, while PENN is on the verge of releasing new ESPN Bet features … that should meaningfully improve their product, points to any deal as less likely,” wrote the analyst.

ESPN Bet is seen as a likely sticking point for Boyd because the operator would not want to pay up for Penn’s interactive business. That’s stoked speculation about a third party, potentially FanDuel parent Flutter Entertainment (NYSE: FLUT), getting involved, but with ESPN Bet currently commanding scant share in the US sports betting market, it’s allure to suitors could be diminished.

Bally’s Could Accept Takeover Offer

Speaking of casino consolidation chatter, Jonas said that with Bally’s (NYSE: BALY) having procured needed financing for its Chicago integrated resort, the company could be more likely to accept the takeover offer floated by Standard General earlier this year.

The hedge fund controlled by Bally’s Chairman Soo Kim offered $15 a share for the gaming company earlier this year — far below the suitor’s $38 per share acquisition overture made in March 2022. Standard General is the largest Bally’s shareholder.

Jonas speculated that with Chicago financing taken care of, Bally’s is less likely to reject the acquisition offer and could accept it while deploying “a number of value enhancing measures.”

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Accel Entertainment (NYSE: ACEL) announced the acquisition of Fairmont Holdings for $35 million in equity, adding a horse racetrack to the video gaming terminal (VGT) firm’s portfolio of assets.

Privately held Fairmont owns FanDuel Sportsbook & Horse Racing in Collinsville, Ill. The venue has 65 live race days and 435 horse races per year. The track is nearly a century old and was rebranded as FanDuel Sportsbook & Horse Racing in 2020. Accel is one of the largest distributed gaming operators in the US. Last year, Fairmont posted $29 million in sales and “modest earnings before interest, taxes, depreciation, and amortization (EBITDA).”

Accel plans to invest $85 – $95 million (over and above the purchase price) to fund temporary and then permanent casino construction and modest track investments. Accel’s five-year forecast suggests an Adjusted EBITDA potential of $20 to $25 million and over 75% free cash flow conversion — pointing to a compelling cash flow return on capital,” according to a statement issued by the two companies.

Accel is a provider of video gaming terminals (VGTs) in Illinois and several other states. Accel’s VGTs are found in businesses such as restaurants, bars, taverns, convenience stores, liquor stores, truck stops, and grocery stores.

Fairmont Deal Fits Accel Acquisition Profile

The Fairmont transaction jibes with Accel’s track record of bolt-on acquisitions that expand the buyer’s route-based capabilities. With Fairmont, the suitor accomplishes while spreading its wings into another corner of the broader gaming industry.

“The transaction has two parts — acquisition of Fairmount, the holder of the license and owner of the underlying site assets, for approximately $35 million of equity consideration, and $85 – $95 million of expected casino build-out and track investments funded from Accel’s credit facility,” according to the statement.

Accel is forecasting “attractive return on capital” via the transaction, which is scheduled to close in the fourth quarter.

Deal Could Provide Runway for Future Growth

In aggregate, Illinois is one of the largest gaming markets in the country, but in Southern Illinois/St. Louis area, there is fragmentation and many of the operators are smaller independents, indicating there’s some room for consolidation. That could be to Accel’s benefit.

“This transaction accesses a ‘local gaming’ total addressable market (TAM) estimated to be approximately $15 billion in size — or more than twice our existing route-based TAM,” according to the company. “Local gaming assets remain largely unconsolidated, under family or small business ownership, and far less often contested by larger gaming players.”

Accel did not mention if the casino would bear the FanDuel — one of the most valuable in the gaming industry — but is attached to another casino in Illinois.

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