Summary
- Intralot and Bally's Corporation are nearing the completion of the sale of Bally's International Interactive business.
- The two companies anticipate finalizing the sale by 2025, with plans to create new synergies between them.
- An executive from Bally will join Intralot to assist in leading the company.
Intralot S.A. and Bally’s Corporation have announced that their Boards of Directors have approved a definitive agreement for Intralot to acquire Bally’s International Interactive business unit. The transaction, valued at €2.7 billion, involves a combination of cash and shares.
Bally’s is selling its interactive division, but gaining ground in Intralot
Both companies anticipate finalizing the deal by the end of 2025, allowing Bally’s International Interactive unit to begin operating under the umbrella of its new parent company. The transaction, funded by cash and newly-issued shares to be provided to Bally's, involves a €1.53 billion cash payment and €1.13 billion in newly-issued Intralot shares, totaling 873,707,073 shares valued at €1.30 each, as clarified in an official press statement. This deal is regarded as a significant milestone in the global gaming industry, marking one of the largest acquisitions to date in the sector. Financial backing for the transaction comes from Citizens Bank, Deutsche Bank, Goldman Sachs, and Jefferies. Meanwhile, Intralot plans to raise an additional €400 million through a public stock sale on the Athens Stock Exchange. Despite Intralot acquiring Bally's International Interactive business unit, the companies will remain intertwined. Bally's will emerge as the largest shareholder in the Greek company, gaining significant influence over Intralot's future direction. Although Sokratis Kokkalis, the founder of Intralot, will continue to hold a substantial share, Bally's will contribute its expertise, particularly with Robeson Reeves, who will step down as Bally's CEO and transition to Intralot. The two companies have agreed to proceed with the transaction, focusing on the synergies it will generate for both parties.
Deal to strengthen core markets and tech ecosystem for the two companies
Intralot and Bally’s plan to combine their expertise in technology and experience in developing analytics and digital systems to enhance their presence in key markets like the United Kingdom and North America. Kokkalis has expressed optimism about the deal, stating that it will not only expand the company's international reach but also advance Greece's investment landscape. Mergers and acquisitions are becoming increasingly crucial for gambling companies aiming to stay competitive. The promising partnership between Intralot and Bally’s introduces a novel approach to such deals, allowing the two companies to both transfer assets and strengthen their market presence while reaping additional benefits.
