In the online leisure gaming industry, we haven’t seen a move this expensive in two years. Well, maybe not as expensive as it is smart, that is.
As reported by SF Gate (Source: Bloomberg), Scientific Games Corp. (SGC) is purchasing WMS Industries Inc. for a reported $1.5 billion. This huge move is targeted at creating a new worldwide supplier of lottery equipment and casino slot machines. The transaction was approved by both boards collectively without any disagreement. Yep, it’s pretty much a no-brainer.
For those of you online casino news fans that enjoy keeping up with the business end of online gambling and or leisure gaming, you may know that Scientific Games, is 38% owned by well-known billionaire Ron Perelman, who is much better at running companies than saving his marriages (sorry, that was called for). SCG, a New York-based provider of lottery systems and scratch cards has entered into the deal to share production, software and customer services with WMS in order to conserve funds.
The deal creates a noteworthy new realm of opportunity between the two leisure gaming types, and poses a major opportunity for increased revenue by the sharing of each company’s resources and products for yet further development into the online scene and new technology that is literally bursting at the seams. These two companies do indeed have much to offer each other: WMS with its online gambling connections and SCG with its lottery-style based offerings.
Based in Waukegan, Illinois, WMS has been in the online gaming industry for years and has developed cutting-edge slots for mobile use too. In fact, WMS just launched 100 new casino slot games at a Vegas trade show recently.
Speaking of slots, the slot machine industry is, itself, recovering from the global economic slump that saw casinos shying away from adding and buying new machines after gambling took a turn toward table games and poker – Games with mostly better odds, that is. WMS, needless to say, is charging on by developing slot games with intense entertainment value and advanced bonuses. Evolution is definitely taking place with slots these days.
The new deal is expected to be finished and completely in place by the end of 2013, thus giving both companies time to integrate properly. The goal in this period of time is to save about $90 million. That’s what we in the online gambling business call pooling your bankroll!
Both companies have released positive statements surrounding the merger. It seems the attitude is not that one bought the other out, but rather, more about sharing resources to move forward in a massive, explosive industry to create the types of innovations we online gamers expect to see, play and have easy access to – whether online, on our mobiles, or elsewhere.
There has been quite the flourish of buyouts mergers and high competition within the online casino industry and social gaming industry due to laws passing in favor of the real money gaming option, not to mention the new technology surrounding mobile casino technology, which WMS has been in on steadily from the get-go.
Here’s some cool info for our readers about WMS. This online slots giant leads the way when it comes to advancing slot game technology and releasing new exciting online casino games (now mobile), and has a strong seat planted within the social gaming environment.
WMS itself is a highly visible company and boasts a vast social vibe with a business Facebook page, WMS Gaming, as well as the extremely popular Jackpot Party Casino page at Facebook. This is the company’s absolute social hub for all things WMS slots offer online casino players and much more.