A globally recognized entity renowned for its range of compelling gaming offerings that connect with audiences worldwide, AGS (PlayAGS) has made public its decision to transition into a privately-owned company through an acquisition by affiliates of Brightstar Capital Partners (Brightstar). Agenda items during a Thursday board meeting at AGS include a unanimous approval of the impending takeover by the Board of Directors.
The firm endorsed the change of ownership for shareholder ratification in addition to this. Per the stipulations of the ownership transfer, a sum of $12.50 per company share will be conferred upon AGS shareholders in a cash transaction. This proposed takeover, calculated to be worth approximately $1.1 billion, signals a 41% bonus on the company’s previous 90-day volume-weighted average price range. Furthermore, the acquisition proposal by Brightstar equates to a 40% premium on the closing stock price for AGS on May 8, 2024.
The anticipated acquisition is predicted to be finalized within the latter half of 2025. Currently, AGS is soliciting shareholder endorsement. Additionally, the deal’s finalization hinges on the procurement of necessary regulatory permissions. Upon successful completion of the transaction with Brightstar, AGS would evolve into a privately-run entity, meaning that its common stock would no longer be traded publicly.
As of this moment, AGS stocks on the NYSE were trading at $11.34 per share. The share price observed a positive swing of approximately 27% in the wake of the acquisition’s announcement.
AGS’ Growth Journey Embarks on a New, Exciting Chapter with this Acquisition
Andrew Weinberg, the initiator and Chief Executive of Brightstar, shared optimistic prospects about AGS’ future, laden with long-term possibilities for value addition. He praised AGS for its robust pipeline of forthcoming products, expressing confidence in the company’s innovative game development approach for sustained growth.
“We are delighted to have reached this agreement, which promises to offer a sizeable, certain cash value to our shareholders. By aligning with Brightstar, AGS is poised to embark on a thrilling new phase, intensifying our commitment to deliver top-quality gaming solutions to our operator partners.“
David Lopez, AGS CEO and President
David Lopez, the Chief Executive Officer and President of AGS, expressed equal emphatic excitement, maintaining that the company is thrilled to inform about this agreement. He estimated this transaction would yield substantial value for the firm’s shareholders.
Lopez proceeded to elaborate that this acquisition would enable AGS to usher in an advanced stage of its growth. He foresees the company amplifying its global presence, leveraging the strategic insights and resources contributed by Brightstar.
