World renowned lottery operator GTECH has announced that it is set to purchase online slot developer IGT for a fee of $4.7 billion.
As part of the deal, GTECH will take on up to $1.75 billion of IGT’s net debt and will see the lottery operator turn its attentions from the struggling Italian market towards the lucrative global online casino market.
Leading land-based and online slot developer IGT is responsible for releasing some of the all-time greatest online slots including the legendary Egyptian slot Cleopatra and the newly released bug fest that is the 100 Ladies slot.
The developer has also seen a number of branded slots hit land-based casinos over recent years. Its 2014 release Avatar was the most highly anticipated land-based slots released this year and the iconic Wheel of Fortune slot has delighted casino players for years.
The purchase of IGT by GTECH will be the largest foreign purchase by an Italian firm since 2009 and is certain to have an revolutionary impact on the online casino slots market, particularly in the US where online gaming is still being debated across many states.
It is expected that annual revenues created by the acquisition of IGT by GTECH could reach as high as $6 billion per year. This would make the company one of the largest and most profitable firms operating in the casino industry.
GTECH CEO Marco Sala said “With limited overlap in products and customers, the combined company will enjoy leading positions across all segments of the gaming landscape.”