Scientific Games Corporation announced that it will spin off its social gaming business in a new subsidiary called SciPlay Corporation, and is planning an initial public offering of minority interest in the newly formed division.
Scientific Games’ Social Division, formerly part of SG Digital, is now identified as one of four operating divisions—the other three being Gaming, Lottery and Digital. One of SG’s legacy companies, WMS Gaming, was one of the pioneers in the social gaming market with its JackpotParty.com site. The company now known as SciPlay is one of the leading social gaming providers in the industry, with a library of more than 1,800 free-to-play games
According to a Friday press release, the company has filed a registration statement on Form S-1 with the U.S. Securities and Exchange Commission proposing an initial public offering of a minority interest in SciPlay. The number of shares to be offered and the price range for the offering have not yet been determined.
The social gaming business will now officially be called SciPlay. The company has applied to list its Class A common stock on the NASDAQ Global Select Market under the ticker symbol SCPL.
Merrill Lynch, Pierce, Fenner & Smith Incorporated, J.P. Morgan Securities LLC, Deutsche Bank Securities Inc., Goldman Sachs & Co. LLC, Morgan Stanley & Co. LLC, Macquarie Capital (USA) Inc. and RBC Capital Markets, LLC, will act as book-running managers for the offering. Stifel, Nicolaus & Company, Incorporated and Wedbush Securities Inc. will act as co-managers for the offering.
The offering will be made only by means of a prospectus. Copies of the preliminary prospectus relating to this offering, when available, may be obtained from BofA Merrill Lynch, NC1-004-03-43, 200 North College Street, Third Floor, Charlotte, NC 28255-0001, Attention: Prospectus Department or by email at dg.prospectus_request@baml.com; J.P. Morgan Securities LLC, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, by telephone at 866-803-9204 or by email at prospectus-eq_fi@jpmchase.com; or Deutsche Bank Securities Inc., 60 Wall Street, New York, NY 10005-2836, Attention: Prospectus Group, telephone: 1-800-503-4611 or by emailing prospectus.cpdg@db.com.
A registration statement relating to these securities has been filed with the Securities and Exchange Commission but has not yet become effective. These securities may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective.
