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Wednesday, July 16, 2014

Italy's GTECH to purchase slot machine maker IGT for $4.7 bln, (NYSE: IGT), (NYSE: MS)

Italian lottery operator GTECH SpA said it will purchase Las Vegas-based slot machine maker International Game Technology for $4.7 billion in cash and stock to increase its scale and offerings in the global gaming market.Including the assumption of $1.7 billion in net debt, the deal is valued at $6.4 billion, the companies said in a statement on Wednesday.IGT shareholders will receive a total of $18.25 per share in a combination of $13.69 in cash and 0.1819 ordinary share of the new company, representing an 18 percent premium to IGT's closing price on Tuesday.Reuters reported last month that IGT had hired Morgan Stanley to explore a sale as the gaming industry pursues consolidation to combat slowing growth.

International Game Technology (IGT) is a global gaming company specializing in the design, development, manufacture, and marketing of casino-style gaming equipment, systems technology, and game content across multiple platforms: land-based, online real-money and social gaming. Shares of IGT remained unchanged at $15.50. In the past year, the shares have traded as low as $12.14 and as high as $21.20. On average, 6654640 shares of IGT exchange hands on a given day and today's volume is recorded at 5606870.

Morgan Stanley is a global financial services company that, through its subsidiaries and affiliates, provides its products and services to a range of clients and customers, including corporations, governments, financial institutions and individuals. Shares of MS traded higher by 0.6% or $0.19/share to $32.00. In the past year, the shares have traded as low as $25.25 and as high as $33.52. On average, 9874120 shares of MS exchange hands on a given day and today's volume is recorded at 13818568.



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