Updating the market this morning, Nasdaq-listed Scientific Games Corporation (SGC) has confirmed that it has entered a ‘definitive agreement’ to acquire all shares in industry progressive systems and live table games content supplier DEQ Systems Corp (DEQ).
SGC governance detailed that it has agreed to a cash payment of CAD $038c per share, valuing its new asset at circa CAD $27 million ($20 million). Subject to deal approval by DEQ shareholders, SGC governance expects to complete the acquisition by Q4 2016.
Detailing the performance of its new asset, SGC revealed that DEQ had generated corporate revenues of CAD$9.5 million with gross profit of CAD$8.1 million on a trailing 12-month basis for the period ended May 31, 2016.
Confirming SGC’s acquisition of DEQ, Senior Vice President Table & Utility Products Roger Snow said,
“The DEQ team has grown a fantastic business focused on providing revenue-generating and entertaining solutions for casino operators around the world. Their established and high-performing library of table games, table progressives, and random bonusing systems will enhance our offerings, add to our recurring revenue base, and provide even more ways for casinos to engage players through Scientific Games’ extensive end-to-end casino portfolio of gaming machines, casino systems, table products, and interactive solutions. We’re especially excited about DEQ’s EZ Baccarat,the world’s leading baccarat brand with nearly 800 table games in 150 casinos worldwide.”
DEQ Systems President and Chief Executive Officer Joseph Bertolone commented on the sale: “We believe that this is a very good transaction for our company. We look forward to working closely with the Scientific Games team to ensure a smooth transition and continued innovation for gaming operators and their players around the world. I am incredibly proud of the entire team at DEQ for all that we have achieved.”
(c) SBC News – Read entire story here.