Chinese investors led by Shanghai Giant Network Technology Co. and e-commerce company Alibaba Group founder Jack Ma have agreed to acquire Caesars Interactive Entertainment’s online games unit Playtika Ltd. for $4.4 billion in cash.

The investors include Yunfeng Capital, the private equity company founded by Alibaba Group Holding Ltd. Chairman Jack Ma, China Oceanwide Holdings Group Co., China Minsheng Trust Co., and Hony Capital Fund. The investors have said that Playatika will continue to operate independently with its management team and its headquarters remaining in Herzliya, Israel.

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Caesars’ online games business creates games like “Bingo Blitz” and “Slotomania,” which are available on Apple’s App Store. Playtika players use a virtual currency that cannot be exchanged for real money. However, it can be spent by purchasing items in the games. According to the companies, Caesars’ “World Series of Poker” and real-money online gaming businesses are not part of the deal.

The acquisition gives the group a stake in a fast-growing segment of the gaming world as users are increasingly choosing mobile apps over PC- and console-based systems. Organized gambling is illegal in China, but Playtika's game is in a gray area since its currency cannot be exchanged, according to Reuters. The virtual currency format will remain with the deal.

“We are incredibly excited by the commercial opportunities the consortium will make available to us, particularly in its ability to provide us access to large and rapidly growing emerging markets,” said Robert Antokol, co-founder and chief executive officer of Playtika.

Antokol said that Playtika's new investors would help give the company access to a huge and fast-growing emerging market. The deal is still subject to regulatory approvals and is expected to be completed in the third or fourth quarter of this year.

Playtika claims to be the first to introduce free-to-play casino-style games to social media networks, Bloomberg reported. Its “Caesars Casino” game is available on Facebook and includes slot machines, blackjack, and video poker.

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