Scientific Games/WMS Merger Gets Antitrust Clearance

The waiting period for Scientific Games' (NASDAQ: SGMS  ) acquisition of WMS Industries  (NYSE: WMS  )  under the Hart-Scott-Rodino Antitrust Improvements Act (HSR) was terminated early, the companies announced yesterday, allowing the transaction to move to the next phase. 

Scientific offered to buy WMS for $26 a share, or $1.5 billion, on Jan. 31. At the time, Scientific Games Chairman and CEO A. Lorne Weil said the purchase would be transformational for the lottery and gaming products and services company. "We expect to combine our game content, technology, operational capabilities, and respective geographic footprints to create an enterprise poised to capitalize on significant growth opportunities around the globe," Weil was quoted as saying.

The HSR requires merging companies to file detailed reports with the FTC and the Justice Department to see whether the combination violates antitrust laws. There is a 30-day waiting period (15 days for all-cash transactions) before the merger can be completed. The companies can request the waiting period be terminated early, which will be granted if both antitrust agencies complete their reviews and determine no enforcement action is necessary.

The acquisition still requires approval of WMS shareholders and receipt of required gaming approvals.

link


Read/Post Comments (0) | Recommend This Article (1)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2308134, ~/Articles/ArticleHandler.aspx, 11/28/2014 4:45:47 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement