Australian slot manufacturer Ainsworth Game Technology announced that the purchase of the 52 percent stake of its shares formerly owned by founder Len Ainsworth to Austrian gaming giant Novomatic AG will close by January 5, nearly two years after the deal was first announced.
“Ainsworth Game has been advised by Novomatic that the final gaming regulatory approvals required in respect of the transaction have been received, thereby satisfying the last of the conditions,” said Ainsworth in a regulatory filing.
The document, filed with the Australian Securities Exchange, added, “In accordance with the share sale and purchase agreement, Mr. Ainsworth and Novomatic have agreed that completion of the transaction will take place on January 5, 2018. Upon completion, Novomatic will own approximately 52 percent of Ainsworth Game Technology’s issued capital.”
The filing added that the share sale and purchase agreement was between, on one side, Len Ainsworth and an entity called Associated World Investments Pty Ltd; and on the other side, Novomatic.
The transaction is valued at approximately A473.3 million.
Danny Gladstone, Ainsworth Game’s chief executive, told GGRAsia earlier this year at the Global Gaming Expo (G2E) Asia casino trade show in Macau that a factor affecting the pace of the deal completion was Ainsworth Game’s licensing as a gaming equipment supplier in 196 United States jurisdictions. As Novomatic was taking a majority stake in Ainsworth , the deal also needed to be approved by those places.
Gladstone also told GGRAsia at the time he expected that post-takeover, the Ainsworth and Novomatic brands would co-exist in their respective core markets—Novomatic has a strong presence in Europe and South America, while Ainsworth Game is strong in Australasia and North America—but would in likelihood share technology in some products.
Harald Neumann, chairman of Novomatic, explained in a press release that the Ainsworth acquisition is expected “to increase market share in the United States to about 10 percent over the next five years.”
He added that the shareholder approval followed an exhaustive examination by regulatory authorities around the world. “The approval involved intense scrutiny from multiple gaming boards, including in Australia, South America and the United States,” he said. “Novomatic is now one of the few internationally active companies to have passed strict compliance checks from these international authorities.”
