Scientific Games Acquires WMS Industries
In 2013, Scientific Games announced plans to purchase WMS Industries. It's taken 10 months, but that sale is complete at the cost of $1.5 billion. The FTC and shareholders at WMS Industries approved the sale, so it was successfully filed with the SEC in October.
Through the merger, Scientific Games expects to save $100 million over time. Plans are to carry over WMS Industries' popular lines of slot machines into the lottery options offered by Scientific Games.
After this transaction, Scientific Games now holds debt of $3 million and also took out a $300 million line of credit to use towards future expansion, but the company isn't worried. The CFO for Scientific Games stated that annual lottery sales are $275 billion throughout the world and $65 million of that is specific to the U.S. The CEO went on to say that through this merger, that would bring the companies $600 million in gross earnings by the end of 2013.
About Scientific Games
Scientific Games is the powerhouse behind the first instant lottery games in the 1970s. Since that day, the company has continued to be a leading force in online casino games and technology for customers on six continents. Many people know Scientific Games through its partnership with Zynga that brought games like CityVille and Words With Friends.
About WMS Industries
Originally founded in 1943, WMS started out inventing the tilt feature in pinball machines. The company enteredthe home video market 40 years later, before advancing to casino games. Among WMS' more popular titles are Clue slots, Lord of the Rings slots, and Monopoly slots.