One of the biggest American companies that provide all sorts of gambling products, Scientific Games Corporation has recently announced that one of its subsidiaries, Scientific Games International Incorporated will set $1.2 billion-worth unsecured notes. This global gaming and lottery corporation based in Las Vegas has several prominent subsidiaries besides Scientific Games International Incorporated including Bally Technologies and WMS Industries.
Each of these companies is involved in the production of mechanical and computerized iLottery, iGaming, table and slot games in addition to the production of gaming services and terminals, server-based gambling terminals, control systems, social gaming platforms and even more. What is even more, Scientific Games Corporation was the very first company of this kind to launch an instant lottery ticket back in 1974.
In addition to being focused on the production of all sorts of gaming systems and terminals, the company also provides different kinds of point-of-sage gaming systems that allow retailers to print lottery tickets on their own such as Powerball and Mega Millions. Today, Scientific Games Corporation employs over eight thousand and six hundred people globally.
Set to Place Unsecured Notes
Regarding the details around the company’s latest decision made, they were revealed several days ago in one of the company’s official press releases. As stated there, the senior unsecured noted offered up for grabs made it live with the company’s bond placement which is expected to come due in 2019. It was also revealed that the senior unsecured notes will be combined with the company’s cash to eventually help the company pay off its selection of ten percent of senior unsecured notes that will expire in two years.
In its official press release regarding this matter, the Scientific Games Corporation’s officials also declared that all proceeds from this private placement will be used in order to fulfill the company’s $244 million-worth debt which is attached to an assortment of 6.25% its subordinate notes that are payable following year. Furthermore, the company’s official press release also stated that the proceeds from the latest placement will be also utilized in order to assuage any unpaid and accrued interest plus any kind of related premiums.
One Portion of the Offering to Be Set Aside
As the company’s officials stated in one of the latest press releases, a lesser portion of the offering’s income will be set aside to help satisfy costs and fees including related expenses and fees which are associated with the offering. The company’s official press release published on its website reads that the unsecured notes are guaranteed on the company’s senior basis including its subsidiaries and all related officials.
It was also revealed that the notes will be unsecured, hence they will not be registered under the state’s Securities Act from 1933. In other words, the notes will not be registered nor regulated by any state laws regarding this matter unless interested parties decide to register them. Unless registered in such manner, the noted cannot be sold or offered in the states expect the registration requirements posed by the Securities Act are applicable.
The news about this company’s placement came after the company’s officials revealed that its third-quarter revenues for the previous period had significantly improved by around 4.1% to reach around $855. With these increasing numbers and the latest business move, the Las Vegas-based company had erased its $352 million-worth deficit from the last year.