GameTech International, Inc. (Nasdaq: GMTC), a leading developer and manufacturer of electronic bingo equipment and bingo systems, announced today that it has entered into a definitive agreement with privately-held Summit Amusement & Distributing, Ltd. to acquire substantially all of the assets of Summit. The consideration for the assets consists of $37 million in cash payable at closing, and a contingent payment of up to $2 million if the acquired business achieves certain profitability goals for 2006.
Headquartered in Billings, Montana, Summit is a leading developer and manufacturer of entertainment driven gaming devices, including primarily video lottery terminal equipment and related software. Summit's primary markets currently include Montana, Louisiana, South Dakota, West Virginia and Native American casinos located in various areas in the United States. Summit has approximately 50 employees.
Jay Meilstrup, GameTech's President and Chief Executive Officer, commented, "We at GameTech are very pleased to announce this acquisition. We believe that Summit's business is highly complementary to GameTech's existing business, and that the acquisition will provide GameTech with the opportunity to significantly expand its product offerings and market presence. We are also very optimistic about the opportunities we believe exist to grow Summit's business."
Summit reported sales in 2005 of approximately $25 million and pre-tax income in 2005 of approximately $4 million.
The transaction is subject to a number of customary closing conditions. In addition, GameTech must obtain licenses to operate the acquired business and complete its contemplated financing for the acquisition, and under certain circumstances must pay Summit a $1 million termination fee if it is unable to obtain the required permits and financing. GameTech anticipates financing the acquisition with a $10 million revolving line of credit and a $30 million term loan. The transaction is expected to close in the first fiscal quarter of 2007.
GameTech International, Inc. is a leading developer and marketer of a comprehensive line of electronic bingo equipment, including hand-held bingo terminals, fixed-base terminals, and turnkey accounting and management software systems. GameTech supports its bingo operator customers with products that typically increase play, revenue and profits, and with software customized to enhance management and operations, all backed by unparalleled customer service and support.
Certain statements contained in this press release may be deemed to be forward-looking statements under federal securities laws, and GameTech intends that these statements be subject to the safe harbor provided by those laws. Forward-looking statements include the potential effects of the definitive agreement with, and the acquisition of, Summit, our potential expansion of our domestic and international business and markets, new product and product feature developments, the success of our strategic opportunities and initiatives, and expectations relating to financial and operating results. We caution that these statements are subject to risks and uncertainties that could cause actual results to differ materially from those reflected by the forward-looking statements contained herein, including whether we will be able to obtain consents, financing and licenses required to complete the acquisition of Summit, our ability to successfully integrate, operate and grow Summit's business, our dependence on the bingo and electronic bingo industry and Summit's dependence on the video lottery terminal business, and other factors disclosed in documents we have filed with the Securities and Exchange Commission, including our most recently filed Form 10-Ks, 10-Qs and 8-Ks.
In addition to online casino news hot off the presses, OCN shows you the best first deposit bonuses at the best online casinos on the web. We've spared you the search by putting together a list of the latest and greatest first deposit bonuses around. So, all you have to do is click and enjoy!
| Name | First Deposit |
|---|
| 400% Welcome Bonus |
| 100% up to $377 |
| 100% up to 200$ |
| 100% up to $1,000 |
| 100% match upto $400 |
Most Recommended Casino Books
There's a bright light of hope shining at the end of the tunnel for many persons in the online casin...
The state of the US has been declared precarious due to its unregulated online gambling which has cr...
The island nation of Antigua and Barbuda has experienced a recent surge in their online gambling ind...
The online casino industry on a daily basis is becoming assertively competitive. Many casinos have l...
Winding down its extraordinary holiday bonus schedule this December is Cherry Red online casino. A 2...
This week's big news was the plea of Anurag Dikshit, co-founder of Partygaming subject to violating ...
A new report claims that there is a dramatic decrease in 2008 of online casino crime....
Harvard Medical School reached an agreement with online casino operator bwin to undertake a joint fi...
During the 4th and 7th of December a non-refuse offer was made by Europa Casino to new players enabl...
Online Casino Games Portal CasinoBonusGuy has been nominated for ''Best Casino Affiliate'' ''Best Bi...
Online casino group Vegas Partner Lounge's leading promotion ''Casino Treasure Cruise'' is a yearly ...
Curacao licensed online site Money Casino released one new slot game and upgraded existing slot bonu...
The Irish gambling taxes are so low in comparison to most of the rest of the world that it is little...
The long held belief that ''gambling is recession proof'' has been proved wrong this year as Las Veg...
One of the highest payouts a player can win in on online non-progressive casino has been given to To...
Vancouver, Washington- In an effort to build a casino resort near La Centre, Clark County- a Norther...
For the last 20 years City Council leaders debate the idea of a casino in Atlanta with the belief th...
Sep. 10 Curacao -- (Press Release) Club Vegas USA has released yet another thrilling i-Slot game cal...
Club Vegas USA is latest online casino Powered by Rival to be released. Rival is one of the up and c...
Reuters reported recently that the United States is not worried about having to pay $100 billion in ...
The release of a new game is always a special event in the gambling industry, but when Microgaming, ...
The sixth annual European i-Gaming Congress and Expo got underway at the spacious Barcelona Diagonal...
The United States government released proposed guidelines for the Unlawful Internet Gambling Enforce...
On October 1, 2007 the Federal Reserve and the Department of the Treasury released their joint repor...
Although the passage of the UIGEA last year made it difficult for American players to gamble online,...
Are the new lax gambling laws causing more and more Britons to be under the sway of compulsive gambl...
You may have a surprise in your Full Tilt Poker Account today! After recent allegations that bots we...
Coming off a 26th-place finish at the World Series of Poker, Rancho Mirage's Roy Winston won the Bor...
But the Gloucester Township homemaker never expected another fight -- this time with bureaucrats -- ...
It should come as a surprise to no one that charity-poker games have emerged in recent years as an i...
Spurred by the three-month success of high stakes poker, the Naples-Fort Myers Greyhound Track’s pok...
Online Casino Group Betfair has announced that it has boosted its IT energy efficiency to support it...
Rumors have been circulating for a while now about the future of 32Red.com and its Gibraltar-based B...
CryptoLogic has announced that they have received exclusive rights to make slots and other casino ga...
Since the beginning of the U.S. Presidents first term, the Bush administration has been trying to ke...
The coastal casino in the State of Mississippi have had a diffilcutl few years, yet it seems that th...
Her Majesty Queen Elizabeth II recently found that not only was she one of the most richest women in...
It seems that there is no limit to how low some online casinos can go in order to secure a profit. V...
After a 10-month investigation into the slimy world of Internet "casinos or sports books", Americas ...
| Name | Payout | |
|---|---|---|
 |
Cherry Red Casino | 99%
|
 |
||
 |
Lucky18 Casino | 98%
|
|
||
 |
Slots Oasis | 98.5%
|
|
||
 |
Rushmore Casino | 97.2%
|
|
||
 |
LuckyAce Casino | 98.3%
|
|
||
Online Casino News - news
from the world of
online casinos RSS Feed.
The OCN directory is currently in development and will be available soon. If you are interested in adding a link, just click on the “Add Link” button. Thanks for your patience.
You do not need prior permission to link to any of the pages on this site. Limited copyright is granted for you to use and/or republish any of the articles on this site for any legitimate media purpose as long as you reference OCN as the source, and include a link referring the reader to the OCN site.