Investor David Einhorn, head of hedge fund Greenlight Capital, revealed that he has acquired a “small” stake in gaming supplier Scientific Games Corp.
According to a report by CNBC, Einhorn told a group of clients about three recent acquisitions—a “medium sized” stake in Chemours and two “small positions,” one being Scientific Games. According to the report, Einhorn said Scientific Games was trading at an attractive valuation after the IPO of its online gaming arm, SciPlay Corp.
Shares of Scientific Games rose nearly 5 percent after the July 25 announcement, closing at $20.19 after more than 2.6 million shares were traded.
The exact size of the purchase was not revealed.
This was the latest of several developments with Scientific Games this year, mostly initiated by Chairman Ronald Perelman. In June, Perelman spent $6.1 million to purchase 305,000 shares of the company’s stock. In December, Perelman spent $27 million to purchase 1.5 million shares. He now controls nearly 40 percent of the company’s stock.
Also this year, Perelman brought in former rival Jamie Odell, former CEO of Aristocrat Leisure Ltd., as a special adviser, and named former Aristocrat executive Matt Wilson as CEO of the company’s gaming division, effective next year.
