Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of International Game Technology (NYSE:IGT) were hitting the jackpot today, gaining as much as 13%, and finishing up 11% after receiving a number of bids for the company in auction.
So what: Among the companies interested in acquiring the slot-machine maker are GTech SpA, and billionaire Ron Perelman's MacAndrews & Forbes Holdings. Reports emerged on Monday that International Game Technology had hired Morgan Stanley to help it find a buyer, and Apollo Global Management and the Carlyle Group also put in preliminary bids. IGT shares had jumped 15% earlier in the week after it announced it was exploring a sale.
Now what: Considering the number of interested parties, shares of International Game Technology could easily move higher. Of the potential buyers, GTech seems the most natural fit as it's the world's largest operator of lotteries, running Italy's national lottery, and several U.S. state lotteries. No price tag has been associated with any of the offers, but the multiple bidders could easily lead to a higher offer. I'd expect shares to move up as negotiations move forward.