Bally Technology Buys Competitor For $1.31 Billion
LAS VEGAS (AP) — Bally Technologies Inc. says it has agreed to buy fellow gambling equipment maker SHFL entertainment Inc. for about $1.31 billion in cash.
Bally says the addition of SHFL will complement its existing product portfolio, while also providing new access to land-based and online table games markets around the world.
Bally will pay $23.25 per share, which represents a 20 percent premium over SHFL’s Monday closing stock price.
The deal also includes debt of $8 million and cash of $41 million as of April 30. Bally said it expects the acquisition to eventually result cost savings of at least $30 million.
The deal, which remains subject to SHFL shareholders approval, is expected to close by the second quarter of calendar year 2014.
Copyright 2013 The Associated Press.