Scientific Games takes back SciPlay acquisition proposal
Under the terms of the deal signed in July of the current year, SciPlay would become a brand under Scientific Games. Based on the new deal, SG will continue its retention of 98% voting as well as 81% economic interests within SciPlay.
The head of Scientific Games, Barry Cottle, commented on the withdrawal of his offer:
“We found it reasonable to cancel our deal within our strict strategy in Mergers and Acquisition (M&A) transaction. Yet, Sciplay has a chance to develop its market and reach $20 billion. We will keep investing in this sector strictly”.
Formerly, Scientific Games had suggested teaming up with SciPlay which would allow SciPlay’s stockholders gain 0.25 shares of SG supply in-place-of SciPlay’s per share.
The reason for the cancellation may lie behind the last deal of selling SG’s Lottery and sports betting business with the price of around $7bln.