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Nevada Regulators Approve Bally’s Acquisition of SHFL

Nevada Regulators Approve Bally’s Acquisition of SHFL

Last week Nevada gambling regulators approved a $1.3 billion buyout by Bally Technologies Inc. of a rival casino device company formerly known as ShuffleMaster. The acquisition was approved in a joint meeting between the Nevada Gaming Control Board and the Nevada Gaming Commission.

Nevada Regulators Approve Bally’s Acquisition of SHFL

Bally has received approval to purchase rival SHFL in a deal worth $1.3 billion.

The boards of the two publicly traded companies approved the deal back in July and Bally Technologies President and CEO Ramesh Srinivasan described the deal as a strategic expansion that would broaden the range of products and services offered over a wider area including Australia and Asia.

The deal still needs federal regulatory approval; however, Srinivasan said that he expects it to be finalized by the New Year.

Bally has said it will pay $23.25 per share and will acquire $8 million in SHFL debt and $41 million in cash.

Bally was founded in 1932, it manufacturers slot machines including reel-spinning and video slots as well as producing casino management and accounting systems. SHFL is considerably younger; it was founded in 1983 and began making card-shuffling devices before expanding into further casino systems.

After Nevada regulators approved the deal SHFL stock went up 3 cents and Bally stock went up $2.02.

OCA News Editor