ï»¿ that Greece continues to be willing to negotiate with European leaders within the country’s debts.
Greece’s ongoing financial crisis and standoff with European leaders could have repercussions that impact the global economy.
That impact extends even to the gaming industry, as Greece’s efforts to avoid defaulting further on its debts may show costly to businesses like Global 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 planned launch. However, the Hellenic Gaming Commission announced brand new lottery regulations within the wake for the nation’s monetary crisis, leaving much doubt regarding the short-term future of the industry.
New Regulations Limit Enjoy, Jackpot Size
Under the new laws, daily loss limits were to be included with the machines, and gamblers would be limited as to how long they would be allowed to play on a machine every day. Jackpot levels would additionally be reduced under the brand new laws.
That didn’t sit well with OPAP, the Greek firm that operates the video lottery terminal community. In a declaration, the business stated that the new regulation would make operating the terminals ‘no longer viable,’ and immediately stopped the deployment of 16,500 machines throughout the country.
Considering the specific situation realistically, the timing of the new laws and OPAP’s decision may just be coincidental, and it’s hard to see how it might be directly related to the battle over Greek financial obligation. But that doesn’t mean that the ongoing crisis won’t be a element in how a lottery terminal battle is resolved.
‘The delay doesn’t have anything regarding the current debt crises other than maybe OPAP playing hardball with all the regulators hoping that they will cave because they need the new tax revenue,’ stated Todd Eilers of Eilers Research.
IGT, Scientific Games Could Lose Revenue
If this is merely a tactic that is negotiating the part of OPAP, it may be a costly one for slot machine manufacturers like IGT and Scientific Games. Both of these companies were producing terminals for the Geek market, and the delays may potentially cost those two organizations millions in revenue.
IGT had been awarded a vendor contract to produce 5,500 lottery machines, while Scientific Games was slated to make 5,000 devices for the market. Two European manufacturers, Inspired Gaming and Synot, were also awarded first-phase merchant contracts.
IGT was expected to make up to $30 million in yearly revenues from the machines offered to Greece, while Scientific Games could bring in as much as $27 million.
The delays and also the crisis that is financial undoubtedly brought some uncertainty to the Greek video clip lottery terminal market, but Eilers says that in the long term, Greece should still be a lucrative market for manufacturers.
‘We still believe the VLT market will move forward and represents a growth that is sizable for vendors,’ he said.
The negotiations within the future of Greece’s lottery terminals comes at time whenever bigger battles are now being waged on the nation’s monetary future.
Greeks voted ‘no’ on the strict lending terms offered by international creditors on Sunday, with more than 61 percent of voters coming out against the terms.
But that vote does not mean that Greece isn’t willing to negotiate. Prime Minister Alexis Tsipras states that the Greek government is still ready in order to make some changes in order to get assistance from Europe, and requested a three-year loan from the eurozone’s bailout fund on Wednesday.
$5 Billion Pinnacle Entertainment Takeover Is Odds On
Pinnacle Entertainment is having a banner so far as their stock price is soaring year. (Image: Pinnacle.com)
Pinnacle Entertainment’s share price rose to an annual on top of Tuesday after a revised $5 billion takeover bid from Gaming and Leisure Properties (GLPI); a bid that analysts say Pinnacle would be angry to make down.
The offer that is new a growth of $900 million for a bid Pinnacle rebuffed in March.
The headlines of the proposal delivered Pinnacle’s stock price up by 5.82 percent on 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 time that is tough a scenario where Pinnacle’s board and management could create the same value in the same time frame that GLPI’s deal would, and we do not see the chances of a superior bid from another entity,’ JP Morgan Gaming Analyst Joe Greff told the Las Vegas Review Journal on Tuesday.
Bing Crosby No On Board
GLPI, a corporate spin-off of penn nationwide Gaming formed in 2013, trades on the NASDAQ and owns 21 casino and racino properties across the United States, like the Penn nationwide Race Course in Grantville, Pennsylvania.
Pinnacle, meanwhile, traces its history straight back to 1938 when Jack L Warner, head of the Warner Brothers Studio, opened the Hollywood Park Racetrack. Initial shareholders in the business included Walt Disney and Bing Crosby.
The group was initially referred to as Hollywood Park Entertainment, and later Hollywood Park Inc, before it changed its title to Pinnacle Entertainment when the racetrack was sold to Churchill Downs in 2000.
Today, it owns 15 casino properties in the US, along with a controlling stake in the racing permit owner. It also has 26 percent stake in Asian Coast developing Ltd, the owner and developer of the Ho Tram Strip in Vietnam, which has benefited from the present economic downturn in Macau, as Chinese high-rollers seek to evade the scrutiny of the government that is chinese.
In 2013 Pinnacle acquired Ameristar Casinos for $869 million and $1.9 billion of assumed debt, adding nine properties that are new its profile and essentially doubling in size.
Under the new proposition, Pinnacle shareholders would also receive a better deal; GLPI is offering $47.50 per share of Pinnacle, and would also give Pinnacle shareholders a 28 % stake of GLPI.
Nonetheless, the language planet 7 oz $50 free chip GLPI has used, even its press releases, helps it be clear that it is a takeover that is hostile.
‘GLPI has committed financing set up and is prepared to finalize this deal immediately, and we would expect to shut our transaction within approximately six months of signing,’ the business said in a statement. ‘Nevertheless, Pinnacle continues to help make 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 standalone separation plan.
Bwin.party Confirms GVC Bid
Bwin.party board says it may ‘see the possible advantages’ regarding the GVC /Amaya deal, since it files another disappointing report that is financial. (Image: pokergruond.com)
GVC’s Amaya-backed bid for bwin.party was verified by the board today.
Yesterday, The Financial instances broke the tale that GVC had made a $1.4 billion offer to get the share that is entire of the web gambling firm; today, the bwin.party board said it had been considering the offer and may see the ‘potential benefits’ to shareholders that are bwin.party.
It was presently committed to resolving number of ‘transaction-related issues,’ it added.
It is uncertain whether 888 Holdings, which made an offer for bwin.party in March, remains at the settlement table.
‘Any offer made by GVC for bwin.party would include part associated with consideration in new GVC shares,’ said Kenneth Alexander, Chief Executive of GVC Holdings, today. ‘Based on our experience with all the successful Sportingbet acquisition and restructuring, we believe that the potential combination of GVC and bwin.party would result in substantial financial and running synergies and represent an opportunity that is excellent both GVC and bwin.party shareholders.’
Amaya Offering ‘Some of this Capital’
Alexander was also able to concur that Amaya Inc is supplying ‘some of this capital’ in the deal, and would therefore take ‘some of the assets’ should it proceed.
It’s understood that in the event of a takeover, GVC would own nearly all bwin.party, while Amaya would acquire the company’s poker operations, thus giving it a foothold in the regulated New Jersey market.
It is believed Amaya would be given the also choice to buy the sportsbook from GVC in the future.
The offer could be a reverse takeover comprised of a mix of new GVC shares and money, although all parties have actually stressed that there may be no certainty that the deal will be accepted.
Poor Sportsbook Results
The news coincided with another disappointing financial report from bwin.party, which said that unfavorable activities results had led 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 percent into the previous 12 months.
‘Despite challenging comparatives together with the impact of EU VAT and POC income tax, our company is pleased with our company performance in the very first half,’ bwin,party CEO Norbert Teufelberger said. ‘ We have completed our new set-up that is organisational streamlined our decision-making processes, significantly improving our operational performance.’
Despite the poor sports book results Alexander stayed positive about the potential of a bwin.party acquisition. ‘It’s been an extremely hard market for bwin however it’s also been a very difficult market for all,’ he said. ‘ Through the GVC perspective, one which