We have a winner if you bet that the $1.5 billion acquisition of slot machine manufacturer WMS Industries by Scientific Games Corporation would increase New York-based Scientific’s street cred on Wall Street, please step forward: ding ding ding! The buyout is expected to bring both WMS and Scientific Games in the neighborhood of $100 million in complementary cost-savings between the 2 companies that are merged and that’s making investors’ ears perk up.
Scientific happens to be on the lookout for the slot machine maker for awhile now; the organization provides lottery systems as well as the equipment to operate the exact same to many US states, Canadian provinces and even some foreign countries. Don’t expect Nevada being certainly one of those though; not gonna happen.
For WMS stockholders, life is great; Scientific Games shelled down $26 per WMS share, that was around 59 percent over exactly what the slot manufacturer closed at back on Jan. 31 of this season.
‘We carry on to grow more comfortable with the pending WMS acquisition from both a simple and more importantly business stability perspective,’ said Stifel Nicolaus Capital Markets video gaming analyst Steven Wieczynski about the merger at an investor meeting that is recent.
And although Nevada may never be getting a state lottery anytime soon, Scientific can still make use that is g (altro…)