Grover Gaming Sells Charitable Gaming Assets for $1.05 Billion to Light & Wonder, Inc.
In a landmark deal, Grover Gaming, Inc. and G2 Gaming, Inc. have agreed to sell their charitable gaming assets to Light & Wonder, Inc. for up to $1.05 billion. This agreement encompasses a cash payment of $850 million at closing, along with a contingent cash consideration of up to $200 million, contingent on meeting specific financial targets through 2028. The sale not only highlights the growing significance of the charitable gaming sector but also illustrates Grover Gaming's substantial value in the market.
Founded in 2013 and privately owned by Garrett Blackwelder, Grover Charitable Gaming has established a strong foothold in the industry, with over 10,000 electronic pull-tab units leased across five U.S. states: North Dakota, Ohio, Virginia, Kentucky, and New Hampshire. This increasing presence translates into a reliable revenue model derived from a dedicated customer base. The firm’s local service teams foster solid customer relationships that enhance operational effectiveness.
According to Matt Wilson, the President and CEO of Light & Wonder, this acquisition is vital as it adds another regulated gaming avenue to their already diverse portfolio. "This transaction complements our position as the leading cross-platform global games company," he stated, emphasizing the importance of the deal in expanding their business model to include new gaming options for a loyal customer base. Wilson also highlighted the potential for increased revenue streams by merging Grover Gaming’s established customer relationships with Light & Wonder’s extensive gaming content.
Garrett Blackwelder expressed gratitude to his team and customers, acknowledging that their support has been fundamental in reaching this milestone. He emphasized Light & Wonder as an ideal partner due to their alignments in company culture and innovation.
The significance of this acquisition goes beyond just numbers; it promises to enhance the gaming experience available to charities and fraternal organizations. Kevin Morse, Chief Development Officer of Grover Gaming, pointed out that the true beneficiaries of this transaction will be the charities involved, as they will enjoy improved gaming content brought in by Light & Wonder.
With Goldman Sachs acting as exclusive financial advisor and Morgan, Lewis & Bockius LLP serving as legal counsel to Grover Gaming in this transaction, all eyes will be on the second quarter of 2025 when the transaction is anticipated to finalize. This development signals a new chapter for both companies in the growing landscape of charitable gaming, where service quality and innovative game offerings can significantly impact community organizations relying on these revenue streams.
In conclusion, Grover Gaming's strategic sale marks a significant consolidation in the gaming industry, underscoring the increasing integration of charitable gaming into the larger gaming ecosystem. The collaboration between Grover Gaming and Light & Wonder not only has the potential to elevate the gaming experience but also supports local communities that depend on charitable gaming proceeds. The upcoming months will be crucial as both firms seek to meet regulatory and other conditions, gearing up for what could be a transformative transaction in the gaming sector.
Founded in 2013 and privately owned by Garrett Blackwelder, Grover Charitable Gaming has established a strong foothold in the industry, with over 10,000 electronic pull-tab units leased across five U.S. states: North Dakota, Ohio, Virginia, Kentucky, and New Hampshire. This increasing presence translates into a reliable revenue model derived from a dedicated customer base. The firm’s local service teams foster solid customer relationships that enhance operational effectiveness.
According to Matt Wilson, the President and CEO of Light & Wonder, this acquisition is vital as it adds another regulated gaming avenue to their already diverse portfolio. "This transaction complements our position as the leading cross-platform global games company," he stated, emphasizing the importance of the deal in expanding their business model to include new gaming options for a loyal customer base. Wilson also highlighted the potential for increased revenue streams by merging Grover Gaming’s established customer relationships with Light & Wonder’s extensive gaming content.
Garrett Blackwelder expressed gratitude to his team and customers, acknowledging that their support has been fundamental in reaching this milestone. He emphasized Light & Wonder as an ideal partner due to their alignments in company culture and innovation.
The significance of this acquisition goes beyond just numbers; it promises to enhance the gaming experience available to charities and fraternal organizations. Kevin Morse, Chief Development Officer of Grover Gaming, pointed out that the true beneficiaries of this transaction will be the charities involved, as they will enjoy improved gaming content brought in by Light & Wonder.
With Goldman Sachs acting as exclusive financial advisor and Morgan, Lewis & Bockius LLP serving as legal counsel to Grover Gaming in this transaction, all eyes will be on the second quarter of 2025 when the transaction is anticipated to finalize. This development signals a new chapter for both companies in the growing landscape of charitable gaming, where service quality and innovative game offerings can significantly impact community organizations relying on these revenue streams.
In conclusion, Grover Gaming's strategic sale marks a significant consolidation in the gaming industry, underscoring the increasing integration of charitable gaming into the larger gaming ecosystem. The collaboration between Grover Gaming and Light & Wonder not only has the potential to elevate the gaming experience but also supports local communities that depend on charitable gaming proceeds. The upcoming months will be crucial as both firms seek to meet regulatory and other conditions, gearing up for what could be a transformative transaction in the gaming sector.
Topics Entertainment & Media）
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