LAS VEGAS, June 4 /PRNewswire-FirstCall/ -- International Game Technology
(NYSE: IGT) today announced that its wholly owned subsidiary, IGT, has entered
into an agreement to purchase substantially all of the assets and business of
Cyberview Technology, Inc., including cash on hand of approximately $17
million, for a cash purchase price of $76 million.
IGT also announced that concurrently with the closing of the asset
purchase, it will enter into a license agreement with Cyberview that provides
IGT access to certain Cyberview patents and technology not included in the
asset purchase, for a one-time license fee of $9 million.
The agreement is subject to Cyberview shareholder approval and certain
other closing conditions and is expected to close in the third calendar
quarter of 2008.
In the event that the transaction is successfully completed, the US
operations of Cyberview will be integrated with IGT in the US, and its UK-
based operation, which focuses on the development of the Cyberview business in
markets outside of the US, will be integrated with IGT-UK (Barcrest).
Cyberview Chief Executive Officer Seamus McGill commented, "This
transaction is beneficial to all parties. Cyberview will be able to
distribute substantial cash proceeds to its equityholders. At the same time,
IGT will be able to use these assets to expand and diversify its business
opportunities."
IGT Chief Operating Officer Steve Morro added, "We are delighted to have
reached this agreement with Cyberview. This purchase agreement, along with
the patent license, will strengthen our core business and provide access to
the fixed odds betting market in the UK."
International Game Technology (http://www.IGT.com) is a global company
specializing in the design, development, manufacturing, distribution and sales
of computerized gaming machines and systems products.
Statements in this release, which are not historical facts, are "forward
looking" statements under the Private Securities Litigation Reform Act of
1995. Although IGT believes that the expectations reflected in any of its
forward-looking statements are reasonable, actual results could differ
materially from those projected or assumed. Such forward-looking statements
are subject to change and to inherent known and unknown risks and
uncertainties. For instance, although IGT and Cyberview have signed a
definitive agreement, the proposed transactions may not close on a timely
basis or at all, due to failure to satisfy closing conditions or otherwise.
IGT does not intend, and undertakes no obligation, to update forward-looking
statements to reflect future events or circumstances.
Information on risks and factors that could affect IGT's business and
financial results are included in our public filings made with the Securities
and Exchange Commission.
SOURCE International Game Technology
CONTACT: Patrick Cavanaugh, Investor Relations of International Game
Technology, 1-866-296-4232
Web site: http://www.igt.com
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