IGT To Sell Italian Commercial Payment Business To PostePay For €700 Mln

International Game Technology PLC (IGT) announced Monday that its subsidiary IGT Lottery S.p.A. has signed a definitive agreement to sell its Italian proximity payment business to PostePay S.p.A. - Patrimonio Destinato IMEL for 700 million euros.

Under the agreement, IGT will be selling LIS Holding S.p.A. and indirectly LISPAY S.p.A. The sale price represents an enterprise value of 630 million euros and around 70 million euros of net unrestricted cash.

IGT will use net proceeds from the transaction primarily to reduce debt.

The IGT Board of Directors has approved the deal, which remains subject to customary closing conditions, including regulatory approvals. Closing of the transaction is expected to occur during the third quarter of 2022.

The two selling subsidiaries conduct IGT's proximity payment business. Services offered range from payments services including bill payments and prepaid payment cards to commercial services providing telco and e-vouchers top up and technological solutions including merchant and enterprise services.

The divesting business generated about 228 million euros in gross revenues and approximately 40 million euros in EBITDA in 2021.

In the deal, UBS AG is acting as lead financial advisor and fairness opinion provider to IGT, and UniCredit S.p.A. as financial advisor.

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