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Monday, October 20, 2014

Amaya Gaming to explore sale of Cadillac Jack subsidiary, (TSE: AYA.TO)

Amaya Gaming Group Inc, which has pivoted to focus on the fast-growing online gambling market, said on Monday it is exploring a sale of its Cadillac Jack subsidiary that makes slot machines and electronic bingo games for casinos.Earlier this summer, Montreal-based Amaya closed on the $4.9 billion takeover of Rational Group, operator of online gambling website PokerStars, just as several U.S. states have begun to move on legislation to legalize online gambling.Amaya said its strategic review process will consider varied alternatives for the Cadillac Jack business with the main aim of expediting Cadillac Jack's growth and maximizing value for Amaya shareholders."In light of recent consolidation within the gaming machine supplier industry, we believe that this is an appropriate time to review and evaluate potential strategic alternatives for Cadillac Jack," said Amaya's Chief Executive David Baazov in a statement.

Amaya Gaming Group Inc. (Amaya) provides a suite of gaming products and services, including casino, poker, sportsbook, platform, lotteries and slot machines. Shares of AYA traded higher by 3.51% or $1.0/share to $29.50. In the past year, the shares have traded as low as $5.61 and as high as $37.00. On average, 755741 shares of AYA.TO exchange hands on a given day and today's volume is recorded at 554704.