Scientific Games Corp. Buying WMS to Create Major Lottery, Slot Brand
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 anticipated to bring both WMS and Scientific Games in the neighbor hood of $100 million in complementary cost-savings between the two merged companies, and that’s making investors’ ears perk up.
Lottery Suits Slots
Scientific happens to be on the lookout for the video slot maker for awhile now; the company provides lottery systems as well as the equipment to perform the same to a lot of US states, Canadian provinces and also some foreign nations. 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 just what the slot manufacturer shut at back on Jan. 31 of in 2010.
‘We continue to cultivate more comfortable with the pending WMS acquisition from both a simple and more importantly business stability perspective,’ said Stifel Nicolaus Capital Markets gaming analyst Steven Wieczynski about the merger at an investor meeting that is recent.
Gaming Platforms Will Benefit Lottery Customers
And even though Nevada may not be getting a state lottery anytime quickly, Scientific can nevertheless make good use of WMS’ social- a