Publishers Clearing House (PCH) is now under new ownership, with ARB Interactive, operator of Modo.us sweepstakes casino, acquiring its assets through a bankruptcy auction for $7.1 million.
The PCH brand will be taken under ARB’s wing and given a new lease of life, with sweepstakes and prize-based games still at the heart of a planned mobile-first, free-to-play platform.
ARB, with corporate offices in Florida, will be looking to resurrect the original sweepstakes household name, making use of its own considerable experience in the social gaming industry.
PCH’s Storied History
Many Americans will remember PCH in its heyday with the iconic Prize Patrol awarding giant sweepstakes cheques to lucky winners on live TV. At its peak in the 90s, the company was clocking up revenues of around $1 billion a year, mainly derived from sales of household goods and magazine subscriptions to members of the public. The allure of sweepstakes winnings acted as a funnel to market the business’s revenue-generating products.
It was a novel business model, but trouble eventually came knocking in the late 90s and early 2000s – PCH faced an enforcement action from the Federal Trade Commission (FTC), then actions from various state attorneys general, both for deceptive business practices.
It was alleged that PCH was misleading consumers into believing they could improve their chances of winning sweepstakes prizes by purchasing products, though in reality, purchases had no effect on winning odds.
The reputational damage, along with a failure to adapt to the growing popularity of the internet and digital gaming, meant that PCH became largely reduced to a nostalgic memory for most Americans. In fact, once again, in 2023, the company had a run-in with the FTC, being ordered to refund $18.5 million to consumers for continuing deceptive business practices.
With $40 million in debt in 2025, PCH filed for bankruptcy two months ago, and now ARB Interactive has swooped in to salvage the brand’s reputation.
PCH to Enter the Sweepstakes Casino Industry?
Back in March, we reported on a partnership with gambling advisory firm, SCCG Management, who wanted to take PCH in the direction of social and sweepstakes casino gaming. That relationship seemingly ended as soon as it had begun, but the general idea has remained with ARB’s acquisition.
On the purchase, Patrick Fechtmeyer, chief executive at ARB, said:
“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’s Modo.us sweeps casino is part of a flourishing sweepstakes casino industry that analysts say brought in $8.5bn in revenue last year overall. However, current state-level legislative efforts and actions from gaming regulators and attorneys general echo PCH’s trials in decades gone by.
This time the question is not deceptive business practices, but whether or not sweepstakes casinos are in fact gambling, just under a different name. Sweepstakes casinos use a dual-currency system, which means no real money is ever actually wagered – rather coins, often called Sweepstakes Coins, which can then be redeemed for cash.
With Montana, Connecticut, and Nevada all passing anti-sweepstakes bills this year, and firm action from states like Louisiana and New York in the form of cease and desist orders, there are still plenty of battles left to fight and unanswered questions for the industry as we move into the second half of 2025. Just how closely PCH mirrors the sweepstakes casino experience remains to be seen, but plenty are eager to see what unfolds.
Author: Joseph Allen
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