Apollo Global Management Inc. is among the potential suitors vying to acquire International Game Technology Plc’s global gaming division, according to people with knowledge of the matter.
(Bloomberg) — Apollo Global Management Inc. is among the potential suitors vying to acquire International Game Technology Plc’s global gaming division, according to people with knowledge of the matter.
The unit could fetch $4 billion to $5 billion in a sale, including debt, said the people, who asked not to be identified because the details are private.
IGT, led by Executive Chair Marco Sala and Chief Executive Officer Vince Sadusky, said in June it was exploring strategic alternatives including a sale, merger or spinoff of its global gaming and PlayDigital online segments. The company may decide to retain both businesses, it said at the time.
The global gaming division, which makes slot machines, generated $223 million in adjusted earnings before interest, taxes, depreciation and amortization in the six months ended June 30. A sale at about $5 billion would represent a multiple of about 11 times Ebitda, a discount to the roughly 13 times multiple that rival Aristocrat Leisure Ltd. trades at.
Spokespeople for Apollo and IGT declined to comment on the private equity firm’s interest.
The two companies are familiar counterparties. In 2021, IGT sold its Lottomatica subsidiary in Italy to funds managed by Apollo.
–With assistance from Christopher Palmeri.
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