IGT sanctions Italian payments division sale for €700m
New York-listed gaming supplier moves to clear company debt with disposal of arm to PostePay
IGT has agreed to sell its Italian proximity payments division, LIS Holding, to PostePay in a €700m (£585m) deal.
As part of the transaction, the slots, lottery and igaming supplier will offload LIS Holding, and LISPAY, to PostePay.
The two businesses offer proximity payments services across a network of 54,000 points of sale via a wholly owned advanced payment technology platform.
The €700m sale price is made up of an enterprise value of €630m and around €70m in net unrestricted cash.
LIS Holding generated around €228m in gross revenue and approximately €40m in EBITDA for 2021.
IGT said proceedings from the sale would primarily be used to reduce company debt.
Vince Sadusky, IGT CEO, said: “This transaction provides us with an opportunity to monetise IGT’s market leadership in the Italian proximity payment business at an attractive value as we continue to execute our long-term strategy.
“Streamlining our products and solutions portfolio enables us to focus our efforts and resources on our core and strategic assets, as we position IGT for industry leadership and increased shareholder value,” he added.
The IGT board of directors has approved the transaction. The deal is subject to standard regulatory approvals and closing conditions, with the acquisition set to complete in Q3 2022.