{"id":686,"date":"2025-06-10T16:45:13","date_gmt":"2025-06-10T16:45:13","guid":{"rendered":"http:\/\/www.chuckwardrealestate.com\/?p=686"},"modified":"2025-09-22T12:09:58","modified_gmt":"2025-09-22T12:09:58","slug":"combined-everi-igt-will-be-bigger-than-aristocrat-light-wonder","status":"publish","type":"post","link":"http:\/\/www.chuckwardrealestate.com\/index.php\/2025\/06\/10\/combined-everi-igt-will-be-bigger-than-aristocrat-light-wonder\/","title":{"rendered":"Combined Everi\/IGT Will Be Bigger Than Aristocrat, Light &amp; Wonder"},"content":{"rendered":"<ul>\n<li><strong>Assessment is based on installation base, not market value<\/strong><\/li>\n<li><strong>Transaction expected to close in a matter of weeks<\/strong><\/li>\n<\/ul>\n<hr \/>\n<p>When Apollo Global Management (NYSE: APO) puts the finishing touches on its $6.3 billion acquisition of Everi (NYSE: EVRI) and International Game Technology\u2019s (NYSE: IGT) global gaming and PlayDigital units in the coming weeks, the result will be larger than the top slot machine manufacturers.<\/p>\n<figure id=\"attachment_318024\" aria-describedby=\"caption-attachment-318024\" data-style=\"width: 858px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" class=\"wp-image-318024 size-post-thumbnail-858xAUTO lazyload\" src=\"data:image\/gif;base64,R0lGODlhAQABAAAAACH5BAEKAAEALAAAAAABAAEAAAICTAEAOw==\" alt=\"Everi, Koin Mobile, antitrust, lawsuit, CashClub Wallet, Koin Wallet, International Game Technology, IGT\" width=\"858\" height=\"482\" data-src=\"http:\/\/www.chuckwardrealestate.com\/wp-content\/uploads\/2025\/06\/everibenefits-858x482-1.jpg\"><figcaption>The Everi logo. The combined Everi\/IGT will have more installed slot machines than big-name rivals. (Image: Everi)<\/figcaption><\/figure>\n<p>In a new report, Fitch Ratings noted that prior to the transaction closing, Everi and IGT have a combined 70K installed units, easily surpassing Light &amp; Wonder\u2019s (NASDAQ: LNW) 54,397. The research firm added the combined Everi\/IGT slot entity will have slots sales market share in North America in excess of Aristocrat and Light &amp; Wonder \u2013 the market leaders. Those may be among the reasons Apollo swooped in with <a href=\"https:\/\/www.casino.org\/news\/apollo-surprises-with-6-3b-bid-for-everi-igt-gaming-biz\/\">a $6.3 billion<\/a> offer for Everi and the two IGT businesses.<\/p>\n<blockquote class=\"main-blockquote\">\n<p>(Everi) Management estimates mid-single-digit revenue growth through 2026 based on current business plans,\u201d according to Fitch. \u201cFurther growth potential includes distribution of Everi&#8217;s content into IGT&#8217;s existing networks, distribution of FinTech solutions in international and distributed gaming markets, and expansion of IGT game content into the Class II category.\u201d<\/p>\n<\/blockquote>\n<p>If the $6.3 billion Apollo is paying was assigned as the market capitalization of the merged Everi\/IGT entity, it would be below the market values of both Aristocrat and Light &amp; Wonder.<\/p>\n<h2>Everi\/IGT Combination Likely to Produce Cost Savings<\/h2>\n<p>As is the case with many private equity acquisitions, Apollo is financing its purchase of Everi and the IGT businesses with debt &#8212; <a href=\"https:\/\/www.casino.org\/news\/deutsche-bank-running-4-3b-funding-deal-for-apollo-everi-igt-buy\/\">$4.3 billion to be precise<\/a> &#8212; and some of it is junk-rated, meaning it carries higher interest rates.<\/p>\n<p><strong>That makes revenue growth and cost savings essential. It appears the combined slot machine maker will be able to deliver on the latter.<\/strong><\/p>\n<p>\u201c(Everi) Management expects $140 million in run-rate cost synergies to be realized by the third year,\u201d adds Fitch. \u201cThese enhancements have been identified through the impact of a larger scale on supply chain and cost optimization, streamlined operations, and real estate consolidation. Management expects further savings of $20 million to be realized in lower capex spending through synergies.\u201d<\/p>\n<p>The ratings agency pointed out that Everi had $77 million in cash on hand at the end of the first quarter and that the gaming device maker generated 2024 free cash flow of $162 million. The combined company will have higher leverage ratios than Aristocrat and <a href=\"https:\/\/www.casino.org\/news\/light-wonder-stands-out-after-forecasting-2b-in-2028-earnings\/\">Light &amp; Wonder<\/a>, according to Fitch.<\/p>\n<h2>Everi\/IGT Will Have Diversified Revenue Streams<\/h2>\n<p>One advantage Apollo could wring from Everi\/IGT is that the merged company will have a diverse revenue stream, perhaps more so than rivals Aristocrat and Light &amp; Wonder.<\/p>\n<p><strong>Gaming operations and sales are forecast to combine for 52% of the combined company\u2019s sales with systems and software contributing another 23% to the top line. Fintech and iGaming will combine for the remaining 25%.<\/strong><\/p>\n<p>\u201cFurther growth potential includes distribution of Everi&#8217;s content into IGT&#8217;s existing networks, distribution of FinTech solutions in international and distributed gaming markets, and expansion of IGT game content into the Class II category,\u201d concludes Fitch.<\/p>\n<p>The post <a href=\"https:\/\/www.casino.org\/news\/combined-everi-igt-will-be-bigger-than-aristocrat-light-wonder\/\">Combined Everi\/IGT Will Be Bigger Than Aristocrat, Light &#038; Wonder<\/a> appeared first on <a href=\"https:\/\/www.casino.org\/news\">Casino.org<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Assessment is based on installation base, not market value Transaction expected to close in a matter of weeks When Apollo Global Management (NYSE: APO) puts the finishing touches on its $6.3 billion acquisition of Everi (NYSE: EVRI) and International Game Technology\u2019s (NYSE: IGT) global gaming and PlayDigital units in the coming weeks, the result will be larger than the top [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":688,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[12],"tags":[],"_links":{"self":[{"href":"http:\/\/www.chuckwardrealestate.com\/index.php\/wp-json\/wp\/v2\/posts\/686"}],"collection":[{"href":"http:\/\/www.chuckwardrealestate.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.chuckwardrealestate.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.chuckwardrealestate.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/www.chuckwardrealestate.com\/index.php\/wp-json\/wp\/v2\/comments?post=686"}],"version-history":[{"count":2,"href":"http:\/\/www.chuckwardrealestate.com\/index.php\/wp-json\/wp\/v2\/posts\/686\/revisions"}],"predecessor-version":[{"id":689,"href":"http:\/\/www.chuckwardrealestate.com\/index.php\/wp-json\/wp\/v2\/posts\/686\/revisions\/689"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/www.chuckwardrealestate.com\/index.php\/wp-json\/wp\/v2\/media\/688"}],"wp:attachment":[{"href":"http:\/\/www.chuckwardrealestate.com\/index.php\/wp-json\/wp\/v2\/media?parent=686"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.chuckwardrealestate.com\/index.php\/wp-json\/wp\/v2\/categories?post=686"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.chuckwardrealestate.com\/index.php\/wp-json\/wp\/v2\/tags?post=686"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}