Scientific Games acquires NYX
At the back-end of September, industry giants Scientific Games and NYX Gaining Group Limited revealed they have entered into a definitive merger agreement.
Under the terms of the transaction, Scientific Games has acquired NYX and all the outstanding shares of the company for CAD $2.40 per share, equivalent to approximately CAD $775m (US $631m).
The strategic benefits of the deal as explained by the companies will be to create a global digital gaming and lottery powerhouse! The agreement will also
further accelerate the growth of Scientific Games Interactive business, whilst doing the same for NYX.
Matt Davey, Chief Executive Officer of NYX who is expected to oversee the newly created Digital Gaming and Sports Division at Scientific Games, has told in an exclusive interview to Gambling Insider that “when discussions kicked in, it was clear that we shared the same vision.
We were initially talking about a commercial deal, which obviously led on to a bigger discussion around the entire transaction, but it s clear they completed the pieces that we were missing and they also gave us the scale and critical mass that we were looking for.
Since signing there’s a period between now and close which will be three to four months, and in that time well have discussions around the long-term management structure, but they were very clear that what we have built at NYX is the market leading position that they intend to enhance and support, so the current proposal is it will be our combined management teams that will be leading the business going forward.
Later in October, Scientific Games announced the offering of $350m in senior secured promissory notes as a method of securing funding for its pending acquisition of NYX Gaming.
The gaming heavyweight confirmed that the issue of notes would be a private offering, with the promissory notes due for repayment in 2025. Scientific Games also stated that the money would be used to finance the acquisition of NYX and the payment of any associated debts and expenses incurred as part of this purchase.