IGT has announced that it is currently in talks with GTECH about potential acquisition. GTECH may purchase the popular poker machine manufacturer in a cash and shares deal. The negotiations seem very serious, as GTECH has hired advisors to assist with the talks. The company’s announcement that it is looking to sell was met with mixed responses.

While most industry professionals were shocked to hear that such a successful company was planning to sell, others were not surprised due to IGT’s recent performance on the stock market. When the company first announced potential changes to its structure, the news was quite vague.

A statement from the company read: "IGT regularly considers, and on occasion explores, a broad range of strategic alternatives, including but not limited to business combinations, changes to our capital structure and adjustments to our portfolio of businesses, with the goal of maximizing shareholder value. The plans to sell were made public when IGT’s stock dropped by 1/3 and the company entered into talks with GTECH.

According to the representatives for the company, there is a low demand for gaming, and IGT cannot keep up with competition from other pokie developers like Aristocrat, Bally Technologies and WMS. While we do agree that competition in the market is steep, it is debatable that there is ‘low demand’ for gaming.

Around the world, more and more countries are regulating online gambling – and, we are seeing new types of casino gambling emerge on a regular basis. There is even talk of rival companies considering the acquisition of IGT. Some industry insiders suspect that Aristocrat, Konami, Bally and Sega Sammy Holdings may be interested in purchasing IGT.

However, these details have not been confirmed, and IGT is keeping quiet about any other potential bidders.

About the Author

George Anderson
Author George, has over 25+ years’ experience in the Pokies and Casinos industry throughout Australia and New Zealand. Loves to research new Pokies games on the block and follows announcements from top industry providers about their upcoming releases. As soon as a new interesting pokie game appears on his radar, George is there to check it out and give you the scoop before anyone else and tell you about all casino sites where can play the latest game. Before this gig, George worked as Pokie game tester, making him an ideal candidate for this genre of work. He is also an animal lover and a proud owner of three dogs.