Laurence Escalante resigns from VGW
VGW announced that CEO and founder Laurence Escalante will step down, effective immediately.
In a statement released today, VGW said Mr Escalante had been on leave since January, when the company became aware of the charges brought against him by WA Police.
“VGW has now appointed senior executive Mats Johnson as acting CEO to lead the business alongside his experienced executive leadership team,” the statement said.
“Mr. Johnson will remain acting CEO as the company embarks on a global search for this important leadership role.”
Mr. Escalante, 44, vowed in January to defend the drug and assault charges against him.
Mr Escalante faces one count of possession of cocaine with intent to sell or supply, one count of possession of ecstasy with intent to sell or supply and one count of possession of a prohibited drug with intent to sell or supply.
In addition to the drug charges, Mr. Escalante faces charges of aggravated burglary, burglary, aggravated assault causing bodily harm, criminal damage or property damage, and persistent domestic violence.
These charges related to an alleged incident that took place at the home of his 24-year-old ex-partner on Australia Day.
The drugs were allegedly found by police after a search warrant was issued at his home.
Mr Johnson said Mr Escalante had built VGW from an innovative idea into one of Australia’s largest unlisted businesses.
“Laurence founded VGW 16 years ago and grew it from an innovative idea in Perth to one of Australia’s largest non-listed businesses and overseas success stories,” he said.
“It pioneered a new category of social gaming that is now a major market in the US, the largest consumer and gaming market in the world, delivering world-class entertainment to millions of gamers.
“We thank Laurence for these and many other accomplishments and contributions at VGW, and for the trust he has placed in us and all of our 1,300 team members to continue VGW’s successes into the future.”
Mr. Escalante, who founded VGW Holdings, has an estimated fortune of $3.16 billion. Business News Rich 100 is the 10th richest person in Western Australia.
He owns a luxury vehicle collection estimated to be worth over $120 million.
This includes the McLaren Solus GT, one of 25 ever produced and priced at US$4 million; an Aston Martin Valkyrie valued between US$3 million and US$4 million; two 65-meter Lamborghini speedboats valued at US$5 million each; a boat worth over $9 million and countless Ferraris and Bentleys.
He also has a private jet estimated to cost between $82 million and $97 million and an extensive watch collection, including a Richard Mille x Pharrell watch worth just over $1 million.
VGW, which trades as Virtual Gaming Worlds, has seen its fortunes grow exponentially since COVID after its online games, including Chumba Casino and Global Poker, saw a huge increase in usage, particularly by customers in the US.
VGW was successful despite objections from regulators who said its games constituted online gambling, which is illegal in most US states.
Mr. Escalante is the company’s founder and became its owner last year after buying out minority shareholders.
ASIC documentation obtained by Business News In February it announced that Mr Escalante was no longer a director of VGW Holdings Pty Ltd.
The company is now owned by Guernsey-based Ocean BidCo.
