Online social gaming company ARB Interactive acquired Publishers Clearing House (PCH) in an auction after the direct-to-consumer promotions company filed for bankruptcy.
ARB Interactive, the owner of social casino platform Modo Casino, is reportedly paying $7.1 million in cash to purchase PCH and will cover $378,000 in outstanding expenses.
“Pending court approval, we’re excited to begin this next chapter and deliver an experience that honors the legacy of the brand while earning the trust of a new generation of players,” ARB Interactive CEO Patrick Fechtmeyer told the Wall Street Journal.
ARB Interactive submitted its winning bid after PCH filed for Chapter 11 bankruptcy earlier this year. PCH filed for bankruptcy claiming $490,000 in cash and around $40 million in debts. Since 1953, PCH awarded more than $614 million in prizes through its direct-to-consumer model. Its acquisition by ARB Interactive will shift its focus to digital offerings.
ARB Interactive is acquiring PCH after the storied sweepstakes provider secured a deal.
PCH partnered with global gaming advisory firm SCCG Management in April to develop social gaming monetization opportunities. The deal provided PCH with access to SCCG’s portfolio of online sweepstakes and social gaming operators. SCCG also provided PCH with consulting services allowing its digital offerings to adhere to regulatory standards.
While SCCG worked with the group on sweepstakes possibilities, those connected to the deal confirmed that the group was not involved in the sale.
FTC sparks probe into PCH
PCH dealt with an investigation initiated by the Federal Trade Commission in 2023.
The probe was sparked by allegations of misleading claims by PCH as it targeted older and lower-income consumers deceiving them into purchasing more products despite not having better chances to win its sweepstakes. According to the FTC, PCH’s misleading claims also included emails with “deceptive subject lines” and “risk-free” offerings.
As a result of the probe, PCH agreed to pay $18.5 million in refunds to consumers harmed by the company’s misleading claims. The FTC sent refunds to 281,724 PCH customers.
ARB Interactive navigates a vertical facing pushback
ARB Interactive is bolstering its reach as sweepstakes and social games face scrutiny nationwide. In 2025, two U.S. markets have signed a sweepstakes casino ban into law.
Montana was the first state to implement a sweepstakes ban after Gov. Greg Gianforte signed Senate Bill 555 to prevent online platforms with dual-currency systems from operating. The state’s prohibition on sweepstakes casinos goes into effect on Oct. 1.
Connecticut also banned online sweepstakes casinos after Gov. Ned Lamont signed Public Act 25-112 making the operation of the offerings a Class A misdemeanor.
A sweepstakes casino ban in New York is one signature away after the state’s legislature passed Bill No. S05935A as a measure that bans the operation or promotion of sweepstakes that simulate casino-style games, bingo or sports betting. The bill, passed unanimously by New York’s Assembly last week, needs Gov. Kathy Hochul’s signature.
ARB Interactive recently joined the Social Gaming Leadership Alliance (SGLA), a social gaming coalition led by VGW. The SGLA, led by former Congressman Jeff Duncan, has a membership that also includes PLAYSTUDIOS, Yellow Social Interactive and Nuvei.
