GTECH to broaden its business base
GTECH, which is based in Rome is the largest lottery operator in the world. It already has a presence in the United States where it operates several State lotteries but acquiring International Game Technology would mean that it could greatly increase its part of the casino slot machine industry which at the moment stands at only about one per cent. GTECH used to be known as Lottomatica and is majority owned by the Italian De Agostini Group and over half of the company’s income comes from Italy. In 2006, Lottomatica bought the American GTECH company and it is now known by this name. GTECH is valued at over 4 and a half billion dollars.
International Game Technology ( IGT) suffers drop in demand
International Game Technology which was founded in 1980 operates world wide, it develops and manufactures casino gaming equipment, provides systems technology and develops gaming software for online and land based casinos. The company is valued at just under 4 billion dollars but it has over 2 billion dollars in debts. International Game Technology was put up for sale on the 9th of June and it is said this was due to a fall in demand for its products since the gaming market is still suffering from the effects of the economic downturn.
Four Potential Buyers
GTECH is not the only possible buyer for International Game Technology. Interest in acquiring the company has also been expressed by Apollo Global Management which has other investments in the American gaming industry, by MacAndrews ad Forbes Holdings and the Carlyle Group. Potential buyers have several weeks to put in an offer for International Game Technology.