Filing Alert: Prime Sportsbook Chapter 11

Update (Nov. 12, 2025): A comprehensive case summary is now available for the Chapter 11 bankruptcy filing of Out the Gate, Inc.

Out the Gate, Inc. (dba Prime Sportsbook), a Cherry Hill, NJ-based online sports-betting operator, filed for Chapter 11 protection on Nov. 12 in the U.S. Bankruptcy Court for the District of Delaware.

The debtor seeks to restructure its balance sheet and run a sale process after failing to reach profitability, citing intense competitive pressures and substantial costs tied to gaming license agreements in New Jersey, Ohio and Kentucky.

Out the Gate enters Chapter 11 with roughly $51 million in secured debt split between two lenders: Plannatech (USA) Corporation, holding about $4 million in first-lien debt, and Neapeg Investment LP, holding approximately $47 million in second-lien obligations. Neapeg agreed to subordinate its position to permit Plannatech to extend bridge financing prepetition.

Plannatech is also providing up to $6.5 million in new-money DIP financing to fund the Chapter 11 process, support ongoing operations and facilitate a restructuring or sale.

The debtor reports $1 million to $10 million in assets and $50 million to $100 million in liabilities. The filing indicates that no funds will be available for distribution to unsecured creditors after administrative expenses are paid. The case number is 25-12023.

Top Unsecured Claims

Key Parties

Counsel:

• Marc S. Casarino
  Kennedys CMK LLP
  Email: marc.casarino@kennedyslaw.com

Signatories:

• Jonathan Richards – President

Bondoro Insights is continuing to monitor this case and will provide further coverage as appropriate.

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