Scientific Games details funding for NYX acquisition

Scientific Games has announced that its Scientific Games International subsidiary will commence an offering of $350m (€297.7m) of senior secured notes to help fund the firm’s acquisition of NYX Gaming Group.

Last month, Scientific Games struck a deal to purchase NYX for $630m, in a move that it said will create a “global digital gaming and lottery powerhouse” and also strengthen its “leadership position” in the market.

Scientific Games has now said it will use the net proceeds of the notes offering, together with cash-on-hand and borrowings under an existing revolving credit facility, to pay related fees and expenses for the acquisition.

Should the planned purchase of NYX go ahead, the firm said it intends to use the net proceeds for general corporate purposes, such as the prepayment of term loan borrowings under the credit agreement.

Due 2025, the secured notes will be guaranteed on a senior basis by Scientific Games and a number of its subsidiaries.

Related article: Scientific Games to acquire NYX for $630m