Light & Wonder, a manufacturer of gambling products, announced that it has signed a definitive agreement to acquire the remaining 17% equity interest in SciPlay that it doesn’t currently own. The two parties agreed on a price of $22.95 per share in all-cash transactions.
The move secured the approval of the board of directors of Light & Wonder, allowing it to finalize the arrangement. SciPlay’s board also approved the transaction, as advised by a special committee comprised of SciPlay’s independent directors. The committee, backed by financial and legal advisors, determined that the deal was in SciPlay’s best interest, advising the board to greenlight the transaction.
The announcement also added that the arrangement has secured the written consent of the common stock holders of SciPlay, ensuring that no additional shareholder approval is required.
The transaction should close in Q4 of 2023 and is still subject to customary closing conditions. After that, SciPlay will officially become a wholly-owned subsidiary of Light & Wonder.
Matt Wilson, Light & Wonder’s president and chief executive officer, shared his excitement about the new deal. He said that the acquisition will bolster his company’s cross-platform strategy and will create “an even stronger and more efficient platform for growth.”
Wilson added that the companies’ combined balance sheets will provide the two parties’ teams with the flexibility they need to make further investments in the development and launch of cross-platform games. This, in turn, will generate more value for shareholders, the CEO argued.
We look forward to bringing our world-class teams together and are excited to innovate and grow as one unified company for the benefit of our employees, players and shareholders.
Matt Wilson, president & CEO, Light & Wonder
At the same time, SciPlay’s independent directors Gerald Cohen and April Henry, who also serve as co-chairs of the SciPlay Special Committee, shared a statement on the agreement. They called the transaction a “compelling opportunity” to generate value for SciPlay’s shareholders while also bringing benefits to Light & Wonder.
Our committee conducted a careful evaluation of Light & Wonder’s proposal, with the support of independent financial and legal advisors, and we believe this combination represents the best outcome for SciPlay shareholders.
Gerald Cohen and April Henry, independent directors, SciPlay
Light & Wonder, meanwhile, recently posted its inaugural ESG report, highlighting its efforts to leave a positive mark on the industry.