Intralot has taken another step towards becoming a global iGaming champion and completing its acquisition of Bally’s Corporation’s International Interactive business after securing a new long-term debt financing totalling €660m.
The deal is split into a €460m, six-year senior secured term loan agreement with institutional lenders, as well as €200m in binding financing commitments for a four-year amortising term loan from a Greek bank consortium. The finances are expected to be used to fund part of the acquisition and repay certain existing indebtedness.
The closing of the financing is subject to certain conditions precedent related to the acquisition and refinancing. Earlier this month, Intralot gained the consent of the holders of its €130m retail bond “as a result of which, inter alia, the retail bond may remain outstanding following the completion of the acquisition”.
Intralot has also recently announced Intralot SA Integrated Lottery Systems and Services’ launch of a €850m aggregate principal amount of senior secured notes, with plans to use the proceeds to partially finance the Bally’s International Interactive acquisition and the repayment of certain existing indebtedness.
Global iGaming champion
Bally’s and Intralot have been in a definitive agreement since July of this year, with the ambition of the Athens-listed gambling group to use the acquisition to become a global iGaming champion, combining Intralot’s lottery business with Bally’s international iGaming operations.
The transaction is set to be a cash-and-shares deal worth €2.7bn – €1.53bn in cash consideration and €1.136bn in newly issued shares in the new Intralot.
The new long-term debt financing is in tandem with the commitments Intralot already has from Citizens Bank, Deutsche Bank, Goldman Sachs, and Jefferies for debt financing up to €1.6bn to support the €1.53bn cash consideration.
Bally’s CEO and board member, Robeson Reeves, has been named the new Intralot CEO, while the company is expected to refinance part of its existing debt facilities, and Bally’s is expected to repay secured debt from the cash proceeds.
“This transaction marks a transformative moment for Bally’s as we unite our outstanding gaming and data technology with Intralot’s exceptional expertise in lottery,” commented Reeves.
“Together, we are creating a unique proposition that will pave the way for a new era of innovation and growth across the entire gaming spectrum.”
Alongside the new long-term debt financing, Intralot added that it “continues to closely monitor market conditions and reaffirms its previously announced intention to access the debt capital markets to replace in full the debt financing commitments originally obtained from certain international banks in connection with the acquisition and the refinancing”.
Previously, it was announced that Intralot’s acquisition of Bally’s International Interactive business is expected to be completed in the fourth quarter of 2025, subject to certain Intralot shareholder approvals, customary antitrust and gaming regulatory approvals and other customary closing conditions.
