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Amaya Gaming Sells Cadillac Jack
Tuesday March 31,2015 : AMAYA GAMING OFFLOADS CADILLAC JACK
Montreal online gambling group confirms it has sold slots manufacturing subsidiary to AGS.
The Amaya Gaming group in Montreal has shed another subsidiary as part of its strategy to concentrate on internet and mobile gaming, confirming that it has entered into a sales agreement with AGS for Cadillac Jack, a slots manufacturing company.
AGS is associated with fund management group Apollo Global Management LLC, which has about US$160 billion of assets under management, and the consideration for the acquisition of Cadillac Jack is Cdn$476 million, with Cdn$260 million paid up front.
Amaya bought Cadillac Jack in 2012 for Cdn$177 million.
CEO David Baazov said that Cadillac Jack had grown substantially under Amaya management, moving into new markets.
"We are confident that combining Cadillac Jack with AGS presents a strong opportunity to expedite the company's growth strategy, while at the same time crystallizing on the strong value created in the business to benefit Amaya's shareholders," Baazov said.
Last week, Amaya announced it was spinning off its Diamond Game Enterprises subsidiary through an initial public offering of a newly formed Innova Gaming Group
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