
Greece’s ongoing economic crisis and standoff with European leaders could have repercussions that impact the global economy.
That effect extends even to the gaming industry, as Greece’s efforts to avoid defaulting further on its debts may show costly to organizations like Overseas Game Technology (IGT) and Scientific Games.
Those manufacturers were hoping to provide video lottery terminals throughout Greece, because of the games just days away from a launch that is planned. But, the Hellenic Gaming Commission announced lottery that is new within the wake for the nation’s economic crisis, leaving much doubt regarding the short-term future of the industry.
New Regulations Limit Play, Jackpot Size
Under the brand new regulations, daily loss limits were to be added to the machines, and gamblers would be limited as to how enough time they would be allowed to play on a machine every day. Jackpot levels would be lower under the brand new regulations.
That didn’t stay well with OPAP, the Greek firm that operates the video lottery terminal community. In a statement, the business stated that the brand new regulation would make operating the terminals ‘no longer viable,’ and immediately stopped the deployment of 16,500 machines through the country.
Evaluating the situation realistically, the timing of the brand new laws and OPAP’s choice might be coincidental, and it’s really hard to see how it might be directly related to the battle over Greek debt. But that does not imply that the crisis that is ongoingn’t be described as a element in the way the lottery terminal battle is resolved.
‘The delay does not have anything to do with the current debt crises other than maybe OPAP playing hardball using the regulators hoping because they need the new tax revenue,’ said Todd Eilers of Eilers Research that they will cave.
IGT, Scientific Games Could Lose Revenue
Should this be just a tactic that is negotiating the component of OPAP, it could be a costly one for slot machine manufacturers like IGT and Scientific Games. Both of the companies were terminals that are producing the Geek market, and the delays could potentially price those two organizations millions in income.
IGT had been awarded a merchant contract to give 5,500 lottery machines, while Scientific Games was slated to make 5,000 machines for the market. Two European manufacturers, Inspired Gaming and Synot, were also awarded vendor that is first-phase.
IGT was anticipated to make up to $30 million in yearly revenues through the machines supplied to Greece, while Scientific Games could bring in as much as $27 million.
The delays therefore the financial crisis have certainly brought some uncertainty to the Greek video lottery terminal market, but Eilers says that in the long run, Greece should still be a lucrative market for manufacturers.
‘We nevertheless believe the VLT market will move forward and represents a growth that is sizable for vendors,’ he said.
The negotiations over the future of Greece’s lottery terminals comes at a right time whenever much larger battles are increasingly being waged on the nation’s financial future.
Greeks voted ‘no’ on the strict lending terms provided by worldwide creditors on Sunday, with over 61 percent of voters developing contrary to the terms.
But that vote does not mean that Greece isn’t prepared to negotiate. Prime Minister Alexis Tsipras states that the Greek government is still ready to make some changes to be able to get assistance from Europe, and requested a loan that is three-year the eurozone’s bailout investment on Wednesday.
$5 Billion Pinnacle Entertainment Takeover Is Odds On
Pinnacle Entertainment is having an advertising year as far as their stock price is soaring. (Image: Pinnacle.com)
Pinnacle Entertainment’s share price rose to a yearly high on Tuesday after a revised $5 billion takeover bid from Gaming and Leisure Properties (GLPI); a bid that analysts say Pinnacle would be mad to make down.
The offer that is new a rise of $900 million for a bid Pinnacle rebuffed in March.
The headlines of the proposal sent Pinnacle’s stock price up by 5.82 percent in the New York inventory Exchange, as investors took the view, shared by JP Morgan, that the takeover is practically a deal that is done.
‘We have a tough time envisioning a situation where Pinnacle’s board and management could create the exact same value in the same time frame that GLPI’s deal would, and we do not see the probability of a superior bid from another entity,’ JP Morgan Gaming Analyst Joe Greff told the Las vegas, nevada Review Journal on Tuesday.
Bing Crosby No On Board
GLPI, a corporate spin-off of penn National Gaming formed in 2013, trades on the NASDAQ and has 21 casino and racino properties across the US, including the Penn National Race Course in Grantville, Pennsylvania.
Pinnacle, meanwhile, traces its history straight back to 1938 whenever Jack L Warner, mind of the Warner Brothers Studio, opened the Hollywood Park Racetrack. Initial shareholders in the ongoing business included Walt Disney and Bing Crosby.
The group was initially called Hollywood Park Entertainment, and later Hollywood Park Inc, before it changed its title to Pinnacle Entertainment when the racetrack ended up being sold to Churchill Downs in 2000.
Today, it owns 15 casino properties in the US, as well as a controlling stake in the race license owner. It has 26 percent stake in Asian Coast developing Ltd, the dog owner and designer of the Ho Tram Strip in Vietnam, which has benefited from the current economic depression in Macau, as Chinese high-rollers seek to evade the scrutiny for the Chinese government.
Better Deal
In 2013 Pinnacle acquired Ameristar Casinos for $869 million and $1.9 billion of assumed debt, adding nine new properties to its portfolio and really doubling in size.
Under the brand new proposition, Pinnacle shareholders would also be given a better deal; GLPI is offering $47.50 per share of Pinnacle, and would also give Pinnacle shareholders a 28 percent stake of GLPI.
But, the language GLPI has used, even its press releases, causes it to be clear that this is a takeover that is hostile.
‘GLPI has committed financing set up and is ready to finalize this transaction immediately, and we would expect to shut our transaction within approximately six months of signing,’ the business said in a declaration. ‘Nevertheless, Pinnacle continues to create new demands, delaying the signing of a definitive contract and denying its investors a value-creating transaction that is actually more advanced than Pinnacle’s previously announced separation plan that is standalone.
Bwin.party Confirms GVC Bid
Bwin.party board says it can ‘see the potential advantages’ of this GVC /Amaya deal, as it files another disappointing report that is financial. (Image: pokergruond.com)
GVC’s Amaya-backed bid for bwin.party ended up being verified by the board today.
Yesterday, The Financial Times broke the tale that GVC had made a $1.4 billion offer to acquire the entire share capital of the online gambling firm; today, the bwin.party board said it was considering the offer and could see the ‘potential benefits’ to bwin.party shareholders.
It was presently committed to resolving a true number of ‘transaction-related issues,’ it added.
It is confusing whether 888 Holdings, which made an offer for bwin.party in March, is still at the negotiation table.
‘Any offer produced by GVC for bwin.party Today would include part of the consideration in new GVC shares,’ said Kenneth Alexander, Chief Executive of GVC Holdings. ‘Based on the successful Sportingbet acquisition to our experience and restructuring, we believe that the potential combination of GVC and bwin.party would result in substantial financial and running synergies and represent an excellent window of opportunity for both GVC and bwin https://casino-online-australia.net/planet-7-oz-casino-review/.party shareholders.’
Amaya Offering ‘Some regarding the Capital’
Alexander was additionally able to confirm that Amaya Inc is supplying ‘some of the capital’ in the deal, and would therefore take ‘some of the assets’ should it go ahead.
It’s understood that in the event of a takeover, GVC would own the majority of bwin.party, while Amaya would find the business’s poker operations, thus giving it a foothold in the regulated New Jersey market.
It’s thought Amaya would additionally be given the option to buy the sportsbook from GVC in the future.
The deal will be a takeover that is reverse of a mix of new GVC shares and cash, although all parties have stressed that there may be no certainty that the deal will be accepted.
Poor Sportsbook Results
The news headlines coincided with another disappointing economic report from bwin.party, which said that unfavorable activities results had led up to a decline in gross win margins for the first half of the season.
The company’s mobile operations have grown, however, with mobile accounting for 31 percent of total gross gaming revenue in June, up from 23 per cent into the year that is previous.
‘Despite challenging comparatives as well as the impact of EU VAT and POC tax, our company is pleased with our company performance in the half that is first’ bwin,party CEO Norbert Teufelberger said. ‘ We have completed our brand new organisational set-up and streamlined our decision-making processes, significantly improving our operational performance.’
Despite the sports that are poor results Alexander remained upbeat about the potential of a bwin.party purchase. ‘It’s been a really market that is difficult bwin however it’s also been a very hard market for all,’ he said. ‘ From the GVC viewpoint, one which