Gaming suppliers IGT and Everi Holdings Inc. announced that they have entered into definitive agreements whereby IGT’s Gaming & Digital business (IGT Gaming) and Everi will be simultaneously acquired by a newly formed holding company owned by funds managed by affiliates of Apollo Global Management, Inc. in an all-cash transaction that values the acquired businesses at approximately $6.3 billion on a combined basis.
On February 29, IGT and Everi announced that they had entered into definitive agreements pursuant to which IGT would separate the IGT Gaming business by way of a taxable spin-off to IGT shareholders and then immediately combine that business with Everi.
Under the terms of the new agreements, the Apollo Funds will acquire IGT Gaming and Everi. Following closing, IGT Gaming and Everi will be privately owned companies that are part of one combined enterprise. Everi stockholders will receive $14.25 per share in cash, representing a 56 percent premium over Everi’s closing share price on July 25, 2024. IGT will receive $4.05 billion of gross cash proceeds for IGT Gaming.
De Agostini S.p.A., the majority shareholder of IGT, has committed to make a minority equity investment in the combined enterprise at the closing of the transaction. Upon completion of the sale of IGT Gaming to the Apollo Funds, IGT will change its name and stock ticker symbol, becoming a premier pure play lottery business. Vince Sandusky, CEO of IGT, will remain with the lottery-only company. Current IGT executive Fabio Celadon will be CFO of the new company; Everi CFO Mafk Labay will be chief integration officer.
Closing is expected late in 2025. The companies did not announce who will lead the newly combined gaming supplier.
