PRN: Scientific Games Completes Acquisition of Barcrest Group
Scientific Games Completes Acquisition of Barcrest Group [23-September-2011] NEW YORK, September 23, 2011 /PRNewswire/ -- Scientific Games Corporation (Nasdaq: SGMS) ("Scientific Games" or the "Company") announced today the completion of its previously announced acquisition by its wholly owned subsidiary, Global Draw Limited ("Global Draw"), of Barcrest Group Limited ("Barcrest"), a leading supplier of gaming content and machines in Europe, from International Game Technology (NYSE: IGT).
Scientific Games Completes Acquisition of Barcrest Group
NEW YORK, September 23, 2011 /PRNewswire/ --
Scientific Games Corporation (Nasdaq: SGMS) ("Scientific Games" or the "Company") announced today the completion of its previously announced acquisition by its wholly owned subsidiary, Global Draw Limited ("Global Draw"), of Barcrest Group Limited ("Barcrest"), a leading supplier of gaming content and machines in Europe, from International Game Technology (NYSE: IGT).
Barcrest will be integrated into Scientific Games' Diversified Gaming Group that includes its server-based gaming businesses, Global Draw and Games Media. Â The acquisition is anticipated to enhance the Company's gaming business by adding Barcrest's expansive library of gaming titles and properties, which were compiled over the past 40 years, to Scientific Games' existing content portfolio and state-of-the-art digital delivery network. Â The deal will also extend the Company's U.K. presence to new betting shop and pub locations as well as complementary gaming venues, such as bingo halls and other gaming centers, along with providing access to new video lottery customers in Italy and the Czech Republic. Barcrest also provides the Company with an existing base of business in interactive gaming, where game content is currently available through internet, mobile and other digital delivery channels.
Based on preliminary, unaudited results provided to the Company, for the twelve months ended June 30, 2011, Barcrest had revenue of approximately 41.9 million pounds Sterling, which included approximately 23.2 million pounds of product sales and approximately 18.7 million pounds of recurring revenue. Â For the same period, Barcrest's operating income and depreciation expense were approximately 6.5 million pounds and 4.5 million pounds, respectively. Barcrest had an installed base of over 5,000 terminals as of June 30, 2011.
About Scientific Games
Scientific Games Corporation is a global leader in providing customized, end-to-end gaming solutions to lottery and gaming organizations worldwide. Scientific Games' integrated array of products and services includes instant lottery games, lottery gaming systems, terminals and services, and internet applications, as well as server-based interactive gaming machines and associated gaming control systems. For more information, please visit our website at http://www.scientificgames.com.
In this press release the Company makes "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements describe future expectations, plans, results or strategies and can often be identified by the use of terminology such as "may," "will," "estimate," "intend," "continue," "believe," "expect," "anticipate," "could," "potential," "opportunity," or similar terminology. These statements are based upon management's current expectations, assumptions and estimates and are not guarantees of future results or performance. Actual results may differ materially from those projected in these statements due to a variety of risks and uncertainties and other factors, including, among other things: competition; material adverse changes in economic and industry conditions; technological change; retention and renewal of existing contracts and entry into new or revised contracts; availability and adequacy of cash flows! to satisfy obligations and indebtedness or future needs; protection of intellectual property; security and integrity of software and systems; laws and government regulation, including those relating to gaming licenses, permits and operations; inability to identify, complete and integrate future acquisitions; inability to benefit from, and risks associated with, joint ventures and strategic investments and relationships; failure of the Company's Northstar joint venture to meet the net income targets or otherwise realize the anticipated benefits under its private management agreement with the Illinois Lottery; seasonality; inability to identify and capitalize on trends and changes in the lottery and gaming industries; inability to enhance and develop successful gaming concepts; dependence on suppliers and manufacturers; liability for product defects; fluctuations in foreign currency exchange rates and other factors associated with foreign operations; influence of certain sto! ckholders; dependence on key personnel; failure to perform on ! contract s; resolution of pending or future litigation; labor matters; and stock price volatility. Additional information regarding risks and uncertainties and other factors that could cause actual results to differ materially from those contemplated in forward-looking statements is included from time to time in the Company's filings with the Securities and Exchange Commission, including under the heading "Risk Factors" in our periodic reports. Forward-looking statements speak only as of the date they are made and, except for the Company's ongoing obligations under the U.S. federal securities laws, the Company undertakes no obligation to publicly update any forward-looking statements whether as a result of new information, future events or otherwise.
Company Codes: NYSE:IGT, Bloomberg:IGT@US, Bloomberg:SGMS@US, RICS:IGT.N, RICS:SGMS.O, NASDAQ-NMS:SGMS