IGT launches US$500mln tender offer for senior notes

Sep 05, 2022 Newsdesk Industry Talk, Latest News  

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Casino equipment and gaming content provider International Game Technology Plc (IGT) announced on Friday a tender offer for some of its senior secured notes.

The company said it was offering to purchase for cash, up to US$500 million in aggregate, of its US$1.0-billion 6.500-percent senior secured notes due in 2025; and of its EUR500-million (US$495.3-million) 3.500-percent senior secured notes due in 2024.

The tender offer will expire at 11.59pm – New York City time – on September 30, 2022. The offer includes an early-tender premium of US$30.00 per US$1,000.00 principal amount of the U.S. dollar notes, and EUR30.00 per EUR1,000.00 principal amount of the Euro notes, if the respective holders tender their notes by September 16.

The release said the tender offer was conditioned “upon, among other things, IGT … being satisfied that it has received, or will receive … an amount of net proceeds of the sale of the shares of LIS Holdings SpA by an indirect subsidiary of IGT to PostePay SpA.” Such proceeds would be used to purchase the tendered notes, it added.

In February, IGT announced that its wholly owned subsidiary IGT Lottery SpA was to sell its Italian proximity-payment business to PostePay for EUR700 million. It was expected the transaction would be completed during the third quarter of 2022.

IGT reported in August that consolidated revenue declined by 1.9 percent year-on-year in the second quarter this year, to just over US$1.02 billion, while its operating income fell by 6.6 percent, to US$228.0 million.

The company’s board declared a cash dividend of US$0.20 per share for the three months to June 30, equal to US$41.0 million for the quarter.

IGT’s net debt stood at approximately US$5.72 billion at the end of the second quarter, down 9.3 percent year-on-year.

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