Gaming provider Ebricat Lessure Ltd on Tuesday announced the purchase of Video Gaming Technologies (VGT), a U.S.-based gaming console maker, for US$1.28 billion. The Australian company also said it would consider other “additional opportunities.”
“We have achieved all necessary regulatory and other approvals” regarding the VGT acquisition agreement, the aristocrat said in a filing with the Australian Stock Exchange.
VGT is a provider of gaming machines for the rental underdeveloped gaming market in North America. The Tennessee-based company was installing about 20,200 rental machines as of the end of last year, according to previous filings.
The Australian gamemaker said VGT will operate as a division of aristocrats, focusing on Class II products.
The peerage said it had put in place a temporary leadership structure “while a rigorous global search for a permanent leader is under way.” The deal was first announced in July.
“As mentioned earlier, this is a strategic and financially attractive opportunity for both companies,” Enerboyat CEO Jamie Odell said in a statement.
“VGT provides a complementary product for aristocrats, and will immediately change the scale and significantly accelerate growth in a critical recurring revenue segment in the United States,” he added.
Speaking at the Global Game Expo (G2E) 2014 in Las Vegas earlier this month, Odell said it was the “responsibility” of gaming technology suppliers to consider consolidation in the face of lower orders from U.S. casino operators.
“The addition of VGT comes at an ideal time for aristocrats and will build on the continued operating momentum achieved in our core Class III business, particularly in our key sales and recurring revenue segment in the United States,” the CEO of aristocrats said in a Tuesday filing.
“This transaction generates a great deal of cash flow. As previously reported, the acquired surplus cash flow will allow aristocrats to continue their growth in light of additional investments in digital and other organic and inorganic opportunities over the medium term,” Odell added. 안전한 카지노사이트
On Oct. 1, aristocrats announced the sale of their lottery division, which includes 10.5 million euros (W13.2 million) in cash, to online game software provider Playtech Plc.