Australian Caledonia Buys In To Scientific Games As Covid-19 Impact Bites

Australian Caledonia Buys In To Scientific Games As Covid-19 Impact Bites

It has been announced today that Austrlian gaming investor Caledonia has bought in to Scientific Games Corporation with a 34.9% acquisition as biollionaire businessman Ron Perelman agrees to sell his stake.

An agreement has been reached that will see the Aussie gaming corporation pay $28.00 per share, which will also result in Scientific Games refresh its Board of Directors and terminate its Stockholders Agreement with MacAndrews & Forbes.

President and CEO of Scientific Games Barry Cottle commented on the acquisition:

“Scientific Games is well-positioned for future success given our industry leading portfolio of products and technologies, loyal customer base and talented leadership team.

We are pleased to have the support of our refreshed Board and new investor base as we continue to execute on our strategy to drive meaningful long-term growth and shareholder value creation.”

Reportedly, three new directors will be added to the Scientific Games Board and it will consist of majority independent directors that bring a wealth of experience across a number of sectors, such as financial, gaming and operational.

Jamie Odell, former Aristocrat CEO is joining the new board during the refresh and state that he is excited to become the Executive Chair of Scientific Games:

“I am excited to become the Executive Chair of Scientific Games and work alongside the Company’s world-class leadership team at such an important time for both the Company and the broader gaming industry.

The Company possesses a market leading portfolio of products and a differentiated position in the emerging digital gaming and sports betting industries.

Scientific Games will have the support of a highly credentialed and experienced investor base, including Caledonia, as we implement transformative initiatives to optimize the asset portfolio and unlock the full potential of the Company’s best-in-class collection of products and technologies.

We will be highly focused on rapidly de-leveraging the balance sheet and creating a flexible, agile company that is poised to capitalize on evolving industry and macroeconomic trends to deliver outsized returns to investors.”

According to reports, Mr Perelman’s investment company MacAndrews & Forbes is selling its majority stake in the online gaming and retail gaming specialist, which makes up almost fifty percent, due to downsizing its portfolio due to the unprecedented times brought about by the recent and ongoing Covid-19 pandemic.

About Caledonia

Founded in 1992, Caledonia is a global investment management firm and has a concentrated, high conviction and long-term investment approach. Caledonia has significant and deep experience in the global gaming sector, including a US$2.5 billion shareholding in Flutter Entertainment.

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