SciPlay Plunges 21% After Sale Talks With Scientific Games End
(Bloomberg) -- SciPlay Corp., the maker of mobile and web games such as Jackpot Party Casino, fell as much as 21% in extended trading after ending talks to sell out to majority owner Scientific Games Corp., a large supplier to the gambling industry.
The two sides were unable to come to terms after a special committee of SciPlay’s board rejected Scientific Games’ initial stock-swap offer, according to a statement Wednesday.
Scientific Games said in July that SciPlay would help it achieve a goal to become a cross-platform global gaming company. Las Vegas-based Scientific Games has been repositioning, and agreed in October to sell its lotteries business to Brookfield Asset Management Inc. for almost $6 billion.
The company already owns 81% of SciPlay and had offered 0.25 of its shares for each share of SciPlay it didn’t already hold.
SciPlay plunged as low as $12.20 in extended trading, after closing at $15.47 in New York. That left the stock below the $15.36 close on July 14, the day before Scientific Games’ bid was announced. Scientific Games rose as much as 7.9% to $67.08 after regular trading Wednesday.
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