Intralot has completed the €2.7 billion acquisition of Bally’s International Interactive business, which has been combined with its lottery and gaming operations.
With completion of the transaction, Bally’s becomes the majority shareholder of Intralot with a 58 per cent stake and will continue to play an active role in shaping the strategic direction of the combined entity.
The international interactive business comprises Bally’s UK and Spanish interactive businesses, a UK land-based casino acquired in Q4 2024 (Aspers in Newcastle), and royalties for certain intellectual properties (IP).
In 2024, the business recorded an 11.7 per cent increase in net gaming revenue to €685.6 million, generating net income for the year of €177.7 million. Its online casino and bingo brands include Jackpotjoy, Rainbow Riches, Botemania, Bally Casino, Virgin Games and Monopoly Casino.
“This is a milestone transaction for Bally’s,” said Bally’s CEO Robeson Reeves. “We have unlocked significant liquidity in a key asset while establishing an even stronger platform for digital growth. Our shareholders now have visibility into the value of our interactive division as part of a larger, globally scaled operator.
“Intralot’s lottery expertise and reach, combined with Bally’s International Interactive’s proven digital capabilities, creates a powerful foundation for expansion over the long term.”
As part of Intralot, Bally’s International Interactive will retain its leadership and technology stack.
Bally’s intends to allocate at least $1.0 billion of the cash after-tax proceeds from the transaction for the reduction of its secured debt, including outstanding revolver balances.
Combined with the contemplated sale and leaseback of Bally’s’ Twin River Lincoln Casino Resort, which includes the application of $500 million to reduce secured debt and credit facilities, Bally’s will substantially reduce debt.
The transaction also allows Bally’s to maintain ample liquidity, including its recently announced increased $670 million revolver, to pursue the company’s strategic growth development initiatives.
In this regard, Bally’s also expects to allocate a minimum of $200 million of cash to fund the development of its Chicago casino, as construction accelerates in conjunction with the $940 million commitment under its agreement with Gaming and Leisure Properties (GLPI).
Shares in Intralot SA (ASX:INLOT) gained 0.86 per cent to close at €1.17 per share in Athens Thursday, while shares in Bally’s Corporation (NYSE:BALY) closed 2.57 per cent lower at $13.65 per share in New York.