Global gaming machines innovator Scientific Games Corporation has announced that it spent just over $21.21 million yesterday in order to acquire a 10.72% stake in online casino games innovator NYX Gaming Group Limited.
Las Vegas-based Scientific Games Corporation declared that it paid between $1.74 and $1.76 for every one of the acquired 11.6 million NYX Gaming Group Limited ordinary shares after previously holding no direct or indirect stake in the Toronto-listed firm.
Nasdaq-listed Scientific Games Corporation revealed in September that it had agreed a plan to spend upwards of $631 million in order to buy NYX Gaming Group Limited outright while last month saw it issue $350 million in senior secured notes in order to help fund the acquisition. It stated that it would like to use the purchase in order to create a bespoke digital gaming and sports division headed by Matt Davey, its target’s current Chief Executive Officer, and featuring the talents of its own Business-To-Business Interactive Managing Director, Leigh Nissim.
However, the full transaction remains subject to a December shareholder vote while last week saw NYX Gaming Group Limited launch an anti-trust lawsuit in a New Jersey state court against William Hill and its William Hill Steeplechase Limited subsidiary over allegations that the giant British bookmaker was illegally trying to block the deal.
At the same time as disclosing its recent purchase, Scientific Games Corporation declared that it had agreed to ‘make a contractual takeover offer to NYX [Gaming Group Limited] shareholders for the same share price’ should the December vote not go its way.
“This reaffirms the companies’ commitment to move forward together,” read a statement from Scientific Games Corporation. “In the future, Scientific Games [Corporation] may acquire additional ordinary shares pursuant to the acquisition, the takeover offer, market or private purchases or any other means. However, Scientific Games [Corporation] may from time to time also dispose of securities of NYX [Gaming Group Limited].”