Playtech acquires VLT businesses from Aristocrat

2nd Sep 2014 10:39

Playtech has agreed to pay €10.5m to acquire the Norwegian and Italian Aristocrat Lotteries businesses of Aristocrat Leisure. Together they provide a server-based gaming platform for video lottery terminals (VLT) and Casino markets to a leading retail VLT operator in each country. The FTSE 250-listed company is funding the purchase from its existing cash resources. "The purchase price and earnings result in a low double-digit multiple, an attractive valuation with potential for further growth, which complements and strengthens Playtech's existing land-based operations," the group said. "The board of Playtech believes the acquisition will position [its] land-based operation as one of the leading suppliers of VLT systems in Europe and Latin America, further extending its reach and diversification across key regulated markets. "The transaction will also enable Playtech's land based division to replicate its success with its Videobet solution in the UK, increase market share within the wider global VLT market and create cross-selling opportunities for other products and content in existing as well as new jurisdictions." Shares had fallen 1.25% to 709p by 09:53.NR