The top gaming provider, Scientific Games, has announced that Caledonia, an Australian fund, will buy34.9% stake in the company. In essence, they’ll buy these shares from MacAndrew and Forbes Incorporated.
Billionaire investor, Ron Perelman, is the manager of MacAndrews and Forbes. Before this, Perelman stated that he is looking forward to a “less complicated and less leveraged business life.” As such, he has been keen to find ways to lessen his rich portfolio. This is because a number of his companies have had issues with the recent health crisis that affects the entire world. But now, Caledonia has made a deal with Perelman for his 34.9% share in the company. They will buy at the cost of $28 per share.
No Stranger to iGaming
All and all, because of this deal, Scientific Games will make many changes. This will include a change of its Board of Directors. Also, it will end its stockholders’ agreement with MacAndrews and Forbes. Even if not many gamblers know them, it’s worth knowing that Caledonia is an Australian investment management firm and is no stranger to iGaming. As well as this 34.9% stake in Scientific Games, they also own 10.4% of Flutter Entertainment. This is a huge name in the Irish iGaming market. It owns some of the biggest brands such as PokerStars, Paddy Power, as well as Sky Betting and Gaming.
Another restructure for Scientific Games
Now, Scientific Games is set to change its board to include all of its current directors, minus MacAndrews and Forbes representatives. What’s more, they will add another three directors. Also, Mr. Perelman, who is currently the Executive Chairman on the board, will serve as an additional non-executive director. This newly revamped board will transform the gaming company and build up its portfolio to make the firm even better and stronger in the future. This deal should work out well for both parties.