Playtech, the gaming technology provider, confirmed on Wednesday that it has finalized its €300m 5.8% senior secured notes deal due 2028, following the pricing announcement made last week.
On 21 June, Playtech unveiled the details of the bond offering, highlighting that the net proceeds from the new notes’ issuance will serve multiple purposes. Notably, these funds will redeem the outstanding €200m 3.7% senior secured notes set to mature in 2023.
The additional proceeds from the bond offering will cater to the accrued interest on the 2023 notes and clear the debt accumulated under its revolving credit facility. Moreover, other transaction-related costs and expenses will also be settled using these funds.
Once the existing debts from the 2023 notes are repaid, Playtech’s remaining liabilities will be the 2028 notes and its prior €350m 4.2% senior secured notes due 2026.
These actions align with Playtech’s positive outlook as the company reported a “strong” start to 2023 last month. The company revised its projected earnings before interest, tax, depreciation, and amortization (EBITDA) to be slightly higher than initially anticipated.
The notes offering reflects Playtech’s ongoing financial strategy. In recent times, Playtech has made significant investments and deals, including a CA$12.2m investment in NorthStar Gaming in February, extending their existing software and services deal by 10 years. In March, it purchased a minority equity ownership stake in Hard Rock International and Seminole Gaming’s gaming and sports betting division, Hard Rock Digital, for $85.0m. Furthermore, in May, Playtech agreed to a new poker deal with Svenska Spel, enabling the latter to launch Playtech’s poker offering on its platform.
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