Analysts at Fitch Ratings expect that the combined Everi Holdings/IGT Gaming entity would have more market share in North America than both Light & Wonder and Aristocrat Leisure.
In a Monday note, Fitch indicated that ‘the company would have an installed base of approximately 70,000 (slot) units’. In addition, the group notes that ‘the merger should enable more cross-selling opportunities between the two entities’.
This comes on multiple fronts as ‘the combined entity would offer one-stop shopping across land-based gaming, iGaming, sports betting, and fintech’.
The analysts highlight that revenue streams are diversified, with gaming operations accounting for 29 percent, gaming sales 23 percent, Systems and Software 23 percent, FinTech 15 percent, and digital 10 percent.
Current estimates are for ‘mid-single-digit revenue growth through 2025 based on current business plans’.
Potential growth also lies in the distribution of Everi’s content into IGT”s existing networks, ‘distribution of FinTech solutions in international and distributed gaming markets, and expansion of IGT game content into the Class II category’.
Fitch maintains its Long-Term Issuer Default Rating (IDR) for Everi Holdings at ‘BB-’due to the upcoming acquisition of IGT Gaming and Everi by Voyager Parent, LLC (a fund managed by Apollo Global Management).
Everi shareholders approved the $6.3 billion acquisition, with 99.88 percent of votes in favor of the merger. The transaction is expected to close by the third quarter of 2025. After the transaction closes, IGT will transition to a pure-play lottery business, changing its name and stock ticker symbol.
The combined IGT Gaming and Everi enterprise will be headquartered in Las Vegas and led by a management team that includes Fabio Celadon as CFO and Mark Labay as Chief Integration Officer.
