IGT Returns to Nevada: A Game-Changing Merger
Date: 2024-03-12 Author: Dima Zakharov Categories: GAMING
IGT's Strategic Move
In a groundbreaking announcement, International Game Technology (IGT) revealed its return to Nevada, the heart of the USA's gaming industry. The company plans to merge its land-based and digital businesses with Everi Holdings, forming a new entity under the IGT brand. This $6.2 billion deal is set to finalize by late 2024 or early 2025.
A Shift Towards Value Creation
The newly formed IGT will center its management operations in Las Vegas, with primary manufacturing based in Reno, Nevada, where IGT originated. Vince Sadusky will continue as CEO, while Michael Rumbolz of Everi will serve as chairman of the board. The merger aims to streamline operations and enhance long-term value for stakeholders.
A Renewed Focus on Nevada
Las Vegas will serve as the hub of IGT's operations, with the lottery division operating independently. Following the merger, the company will trade on the New York Stock Exchange under the "IGT" ticker symbol. The synergies between the two entities are expected to drive innovation and maintain industry leadership.
Long-Term Benefits and Regulatory Hurdles
IGT's global operations across 100 countries pose regulatory challenges, contributing to the extended finalization timeline. However, consolidating manufacturing in Nevada promises logistical improvements and cost reductions, strengthening the company's market position.
Revitalizing Nevada's Manufacturing Sector
IGT's return to Nevada signifies a revitalization of the state's gaming manufacturing sector. Daron Dorsey of the Association of Gaming Equipment Manufacturers anticipates economic growth and industry resurgence. The move aligns with a broader trend of M&A activity in the gaming supplier market, promising innovation and competition.
As IGT reclaims its presence in Nevada, the gaming industry anticipates a new era of growth and opportunity, setting the stage for further industry transformations.
