WDTS gets $35m investment from Beach Point

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Walker Digital Table Systems has announced a $35 million strategic investment by Beach Point Capital Management, a multi-billion dollar investment manager with a sizable portfolio in the casino gaming industry.

The team at Beach Point has invested over $4.5 billion in gaming-related opportunities. The financing was arranged by Spectrum Gaming Capital, a leader in strategy and finance for the global gaming industry.

WDTS is the developer of Perfect Pay Baccarat, the world’s most widely installed RFID table games platform. With an extensive patent portfolio, it is also the exclusive provider for PJM3.0 RFID, the industry standard powering gaming chips, table games, and casino cage operations worldwide.

“The efficiency and security achieved through table games automation systems have emerged as a critical capability that allows operators to manage their floor with assured game integrity in what is often a constrained staffing environment,” said Stephen Moore, Chief Executive Officer for WDTS, continuing “This investment will further our goal of bringing innovative and transformative technologies with substantial benefits for players, dealers, and supervisors to table game operators across the globe.”

“Beach Point Capital is the ideal partner as WDTS moves into this next phase of global growth,” said Jay Walker, Chairman of WDTS. “They were attracted to our company because of our unique success at both tracking and perfectly paying more than half a trillion dollars of baccarat wagers in Asia,” Walker added. “We expect the company will benefit from Beach Point’s deep industry expertise as well as their recognition of WDTS’ role as a key provider of the emerging digital infrastructure driving growth in gaming.”

The WDTS Board of Directors includes the four new members listed below, all with deep experience and expertise across the gaming, hospitality, and financial services industries.

Garry W. Saunders is an experienced casino developer and operator. He is a partner in and Executive Vice President of Global Gaming Asset Management. His previous roles include Chief Operating Officer of Melco Resorts and Entertainment (NASDAQ: MLCO) and Vice President of International Operations for Las Vegas Sands Corporation (NYSE: LVS). In addition, Garry previously served as Chairman of the Board of Directors of Shuffle Master, Inc. (NASDAQ: SHFL). He will serve WDTS in the capacity of Deputy Chairman. “I’m excited to be involved with a company and management team that has tremendous potential to expand its customer base and product offerings” Saunders stated. “I’ve been impressed by the satisfaction and success of its installed base. The time has come for the widespread adoption of smart table technology by the casino gaming industry, and WDTS is uniquely positioned to grow and continue its practice of continuous innovation.”

Brian Himot is a Portfolio Manager at Beach Point. Brian brings extensive experience in the gaming sector, including sourcing and structuring new investment opportunities in the space as well as performing fundamental research and company analysis. Prior to Beach Point, he served as a Vice President at Bank of America Securities in the New Product Development Group and as an associate at the law firm of O’Melveny & Myers.

Marc Falcone is an owner and managing partner for Kentucky Downs and has previously served as the President and Chief Financial Officer of Sightline Payments LLC, a leading digital commerce platform for the gaming industry and as Executive Vice President, Chief Financial Officer and Treasurer of Red Rock Resorts, Inc. and Station Casinos (NASDAQ: RRR). His previous investment business background includes Goldman Sachs & Co., Deutsche Bank Securities Inc., and Bear, Stearns & Co. Inc.

Jon Rein is a co-founder and principal of Event Horizon Strategies, a strategic foresight consulting and professional education company. Previously, Jon was head of business and corporate development for GGAM, a platform in the gaming, hospitality and leisure sectors. Before that, Jon was a finance professional in New York, London, and Los Angeles at firms such as Cantor Fitzgerald, Credit Suisse, CIBC, and Gleacher & Co.