Business/Financial
IGT Dividend Issued on Eve of Contested Shareholders Meeting
Slots manufacturer International Game Technology (IGT) has issued an 8 cents per share dividend on the eve of a hotly contested shareholders meeting.
The IGT board of directors declared the dividend, which is a 33 percent increase over this same quarter last year.
"This is a demonstration of our continued commitment to return capital to shareholders, efficiently and prudently, driven by the strong financial performance of the company," Hart said.
Republican Mega Donor Sheldon Adelson Caught Up in ‘Bribe’ Scandal
Auditors at Las Vegas Sands Corp. admitted Friday "there were likely violations" of the Foreign Corrupt Practices Act barring Americans from bribing foreign officials to secure an advantage.
This disclosure was made in a late afternoon filing with the Securities and Exchange Commission Friday that ultimately leaked out to the media Sunday.
Heading up Las Vegas Sands Corp. is none other than powerful casino magnate and mega Republican donor Sheldon Adelson.
Countdown to the Vote: IGT Power Struggle Comes to Head Tuesday
A much talked about proxy battle at the world’s largest slots manufacturer will come to a head on Tuesday.
William Hill Buys Out Online Partner Playtech
(Reuters) - William Hill is to pay 424 million pounds ($643 million) for full control of its online business, marking an acceleration of the expansion of Britain's largest bookmaker.
The deal to buy out the 29 percent stake in William Hill Online held by software company Playtech was the company's second major deal in the past three months.
It has already agreed to pay 460 million pounds for the Australian and Spanish operations of online gambling company Sportingbet, deal set to complete on March 19.
Analyst Paints Rosey Outlook for Zynga
Joseph Stauff of Susquehanna Financial Group believes the “sky is the limit for Zynga” in the wake of a third state this week legalizing “real money” online gambling.
That state is New Jersey. Governor Chris Christie signed a measure legalizing Web gambling for those logging on within the state. Because New Jersey is within an easy reach of two major metropolitan centers, the industry could potentially tap into a market that nearly doubles the Garden State’s population of 9 million.
Atlantic City Casino Shares Up on NJ Internet Gambling News
(Reuters) - The legalization of online gambling in New Jersey gave a boost to shares of Caesars Entertainment Corp and Boyd Gaming Corp, on expectations that this will revive business in Atlantic City, the second-biggest U.S. gaming destination.
The companies, which together account for more than 60 percent of Atlantic City's gaming revenue, would benefit from new gaming rules that give preference to existing New Jersey casino operators in issuing online gaming licenses.
Gambling Companies, Zynga Shares Get Boost With Christie Decision
New Jersey Governor Chris Christie signing a bill that would legalize online gambling in the state gave publicly traded casino and bookmakers a much needed boost.
Zynga, which plans to offer “real money” Web poker by year’s end or early 2014, witnessed a 3 percent rise on top of a 15 percent increase witnessed over the past week. The world’s largest free-to-play online poker company has been on a roll ever since Nevada legalized interstate Web gambling last week.
More IGT Talent Jumping Ship: Competition Snatching Them Up
Last week, Gambling911.com and other media outlets reported on how IGT continued to lose some of its best talent over the past year. On March 5, shareholders will determine whether new members join the board as part of a nasty proxy fight brought on by investor Jason Ader.
Zynga Will Bring Online Gambling to the Masses, CEO Claims
Zynga CEO Mark Pincus insists that Zynga will help bring the online gambling industry to the next level. His company’s share price has seen a 15 percent jump in the past couple of days, fuelled, at least in part, by news that the state of Nevada will now allow interstate Web gambling.
From Cnet.com:
Zynga Shares May Gain Further Momentum as Christie to Sign Web Gambling Bill
New Jersey Governor Chris Christie has said he will sign a bill into law legalizing online gambling once it hits his desk either Wednesday or Thursday of this week, and all eyes will be on the world’s largest free-to-play Internet poker site Zynga.
That company’s shares rose 15 percent to $3.67 Monday morning, representing the single biggest intraday gain since February 8. Zynga’s shares were already up 35 percent on the year.
Why the surge?
Slots vs. Online Gambling Focus of IGT Proxy Battle: Comes to Head March 5
A March 5 annual meeting will determine the fate of the world’s largest slot manufacture’s board.
Investor Jason Ader is embroiled in a nasty proxy fight with IGT’s current management. Ader wants to place his own hand-picked executives on the board.
He also feels the company has lost its focus.
Ladbrokes Gaining Ground in Online Gambling
(Reuters) - Ladbrokes, Britain's second-largest bookmaker, expects to see payback this year from a 50 million pound ($77 million investment in an online business that had failed to keep pace with rivals.
While growing numbers of people are gambling via smartphones and tablet computers, Ladbrokes has been hit by delays upgrading its technology. It has lost ground to market leader William Hill in online and faced competition from smaller rivals.
IGT Urged to Commence 'Dutch Auction' Tender Offer
NEW YORK -- Orange Capital, LLC (“Orange Capital”), a New York-based investment firm, has issued a second open letter (text below) to the Board of Directors of International Game Technology (NYSE: IGT) (“IGT” or the “Company”) in response to the Company’s recent share price performance and election contest with the Ader Group:
The full text of the letter follows:
February 20, 2013
Philip G. Satre Chairman of the Board International Game Technology 6355 South Buffalo Drive Las Vegas, Nevada 89113
Dear Mr. Satre:
The Plane Truth: IGT CEO Appeared to Use Company Jet for Private Use
In Grave Turmoil: That’s not what IGT, the world’s largest slots manufacturer, stands for, but it may as well be.
Forbes.com on Wednesday published a scathing report that seems to suggest IGT CEO Patti Hart may have used a company jet for her own personal use.
Hart is currently embroiled in a nasty proxy fight with investor Jason Ader, who is seeking to wrestle away control and plant three of his own executives upon the board.
Institutional Shareholder Services Backs Ader Group in IGT Proxy Battle
Institutional Shareholder Services (ISS) recommends that shareholders of International Game Technology (NYSE: IGT) use the GOLD proxy card to vote at the company’s March 5th annual meeting. ISS is one of the nation’s leading independent proxy voting advisory firms, providing voting recommendations to thousands of pension and mutual funds and other institutional investors.
Revel Casino in Atlantic City to File for Bankruptcy Protection
ATLANTIC CITY, N.J. (Associated Press) -- Revel, the casino many people had hoped would turn around Atlantic City's sagging fortunes, said Tuesday that it will file for Chapter 11 bankruptcy protection in March, less than a year after it opened.
The voluntary, prepackaged bankruptcy envisioned for late March will wipe away about two-thirds of its $1.5 billion in debt by converting more than $1 billion of it into equity for lenders.
Kevin DeSanctis, Revel's CEO, said the restructuring will give the casino resort more flexibility to operate.
Hart Attacked! Forbes Stops Short of Calling IGT CEO ‘Incompetent’
A Forbes.com piece published online Monday questions whether Patti Hart can maintain her post as CEO of the world’s largest slot manufacturer IGT.
Hart is currently embroiled in a nasty proxy battle with Jason Ader, whose group is attempting to place three of its own handpicked individuals on the IGT board and, presumably, remove Ms. Hart.
Las Vegas Review Journal Picks Up on G911 IGT-Bringit Exclusive
The IGT proxy fight is getting uglier by the day, even with a national holiday occurring in the States.
The Las Vegas Review Journal picked up on Gambling911.com’s exclusive whereby IGT CEO Patti Hart failed to disclose material information to all investors that a Silicon Valley-based investment bank where her husband is a top executive oversaw the slot machine maker's purchase of a small social gaming technology company last year.
Why Zynga Fell Hard Tuesday: Abusive Short Selling Uncovered
Just after Gambling911.com reported on how online gaming company Zynga had been flying high on the stock market, its share price collapsed by nearly 12 percent with volume three times the norm.
Betable Says Real Money Gambling in UK ‘Well Beyond Expectations’
Betable, a new company that allows mobile gaming companies to convert their free games into real money, claims the “experiment” is working and has been “well beyond expectations”.
Currently, Betable.com is only allowing real money play only in the United Kingdom.
From VentureBeat.com:
Betable’s aim is to disrupt traditional land-based casinos and online gambling by making it extremely easy for companies to convert their non-real-money gambling games into gambling titles.
Vegas Bigwigs Pitted Against One Another in IGT Battle
The battleground may be littered with wounded Vegas royalty when all is said and done in the continuing saga of gaming company IGT’s proxy fight. Casino bigwigs are being forced to take sides.
From Red Headed Step Child to Wall Street Darling, Zynga Shines
In just one week’s time online gaming powerhouse Zynga has become the darling of Wall Street.
It was just a few weeks ago that Zynga was scoffed at by investors.
Zynga is becoming a true Cinderella story with its stock price rising more than 11 percent.
The company reported better-than-expected financials last week and is looking to offer real money online poker in the US by the spring.
In addition to the real money online gambling space, Zynga CEO Mark Pincus has begun to focus more heavily on the emerging mobile market.
Silence of the Hams: Ader Linked Websites Blocked Inside IGT
The Las Vegas Review Journal on Sunday reported that gambling firm IGT has begun blocking its employees from accessing gaming analyst Jason Ader-linked websites.
Ader is currently embroiled in a nasty – and quite aggressive – proxy battle with IGT’s current management team.
Questionable Trading Activity at IGT Raises Eyebrows
In February 2012, IGT acquired a company called BringIt, Inc. (“BringIt”) and Gambling911.com can reveal exclusively some of the questions surrounding this business deal.
IGT has previously identified the acquisition in filings with the U.S. Securities and Exchange Commission (SEC), including on page 95 of IGT’s Form 10-K, filed on November 28, 2012.
IGT Proxy Fight on CNBC: Ader Says Stock Price Should be Much Higher
Gaming analyst-turned advisor Jason Ader spoke Wednesday afternoon on CNBC regarding the ugly proxy fight at IGT.
Ader is spearheading efforts to take control of the board.
“There is a limited amount of gaming expertise (within IGT),” Jason Ader said regarding the current board members.
Ader feels IGT shares are very undervalued.
“Gaming companies are less healthy but there is big demand,” he noted.
IGT’s current management told CNBC that Ader had “no plan”.
“We want to see the stock price much higher,” Ader said.
Zynga Shares Up Following Stronger-Than Expected Revenue Report
Shares in the social gaming company Zynga were up 2 percent Wednesday morning following the release of stronger-than-expected financial numbers for the final quarter of 2012.
The company’s loss narrowed after it laid off workers and closed underperforming offices. Revenues, however, remained mostly unchanged.
The results exceeded Wall Street's expectations with shares rising nearly 7 percent in after-hours trading Tuesday evening.
Betmaker Exchange Customers Moved to Bookmaker
Bookmaker has taken over all existing accounts of the US-facing online betting exchange Betmaker, it was announced on Tuesday.
All funds are safe and the transfer of accounts was expected to be seamless.
Steve Wynn Supports Mathewson in Bid to Overthrown IGT CEO Patti Hart
Casino mogul Steve Wynn has come to the defense of former IGT chairperson Charles Mathewson in a bid to regain a seat on the company’s board.
Gaming analyst-turned investor Jason Ader and Mathewson are currently embroiled in a proxy fight with IGT CEO Patti Hart.
The company blasted both men’s efforts in a letter to shareholders issued on Friday.
Nevada Sportsbooks Will See Profit From Super Bowl Despite Taking Big Hits
Another safety and the Ravens win combined to make for a not-so-great Super Bowl for the Nevada sportsbooks. Still, most anticipated making a small profit.
They are also hopeful about beating the 2006 record, when $94.5 million was wagered on the big game.
AsianLogic and TotelFootball Deal Brings Fantasy Football Betting to Asia
Fantasy Football in Asia? Yes, this phenomenon is spreading like wildfire it seems.
Fantasy sports pools betting provider Totel Football has secured a deal with leading land based and online gaming operator AsianLogic, which will see AsianLogic spearhead growth throughout the Asia-Pacific region.
