Bally’s Finalizes Sale of Interactive Division to Intralot for EUR 2.7 Billion
Overview of the Sale
Bally’s Corporation, a prominent global casino and entertainment company with 19 casinos under its management, has completed the sale of its international interactive division to Intralot S.A. This transaction merges Bally’s interactive business with Intralot’s global lottery and gaming operations, creating a stronger combined entity.
Deal Value and Strategic Benefits
The agreement, initially announced earlier this year, values Bally’s international interactive segment at approximately EUR 2.7 billion (about $3.12 billion). This deal significantly enhances Bally’s liquidity and paves the way for accelerated global expansion of the newly combined company.
Following the completion of the transaction, Bally’s holds a majority ownership in Intralot with a stake of 58%. The corporation will remain actively involved in directing Intralot’s growth and strategic initiatives. The acquisition involved EUR 1.53 billion ($1.77 billion) in cash paid to Bally’s and the issuance of EUR 1.136 billion ($1.31 billion) worth of new Intralot shares to Bally’s, equating to nearly 874 million shares at a price of EUR 1.30 ($1.50) each.
Investor Confidence and Market Impact
Intralot also completed a fresh share offering worth EUR 429 million ($496 million) in early October. The offering was heavily oversubscribed, reflecting strong interest from both institutional and retail investors. This enthusiasm signals robust confidence in the newly combined company’s prospects, now ranking among the largest publicly traded firms on the Athens Stock Exchange.
Significance of the Transaction
This merger positions the new entity as a major force in the international gaming and lottery sector with anticipated annual revenues of around EUR 1.1 billion ($1.27 billion) and an expected profit margin exceeding 39%.
The combined company aims to leverage its enhanced scale, sophisticated data-driven technologies, and diversified portfolio spanning business-to-government (B2G), business-to-business (B2B), and business-to-consumer (B2C) operations. Bally’s International Interactive will continue to lead in digital infrastructure, including its Vitruvian data platform, which will be integrated into Intralot’s lottery network. This strategic positioning targets a global market projected to reach EUR 200 billion ($231 billion) within the next four years.
Use of Proceeds and Financial Strategy
Bally’s intends to allocate at least $1 billion from the sale proceeds to reduce secured debt, including revolving credit lines. Additionally, the company anticipates generating another $500 million for debt reduction through the expected sale and leaseback of the Twin River Lincoln Casino Resort. These initiatives reflect Bally’s commitment to strengthening its financial structure.
The remaining funds are earmarked for ongoing development projects, notably a minimum of $200 million dedicated to advancing the construction of Bally’s Chicago casino. This project is progressing through a partnership with Gaming and Leisure Properties under an agreement valued at $940 million.
Executive Commentary
Robeson Reeves, Chief Executive Officer of Bally’s, described the transaction as a landmark event for the company. By unlocking substantial liquidity tied to a key asset and reinforcing the platform for digital growth, the deal delivers greater transparency and enhanced value recognition for shareholders within a globally scaled operator.
