Supplier News
Australia – Ainsworth buys poker and VLT manufacturer MTD Gaming
By Phil - 9 March 2020
Australian slot machine manufacturer Ainsworth Game Technology has bought US-based MTD Gaming for an initial purchase price of US$13m, with an additional US$13m deferred payment payable ‘on the successful delivery of financial targets and contract renewals.’
MTD Group is a developer and supplier of Poker, Keno, and video reel content for use in Multi-Game and Video Lottery Terminal (VLT) markets. Its products are currently installed within Montana, Louisiana, and more recently South Dakota. Ainsworth said MTD’s products were ‘highly complementary’ to the ‘existing game suit’ from Ainsworth.
Ainsworth Chief Executive Lawrence Levy said: “We are delighted to welcome MTD to Ainsworth. The acquisition marks another positive step in transitioning Ainsworth to growth and improved profitability. MTD’s unique Poker and Keno games are a great fit with our existing Class II and Class III offerings in the US and follows the global launch of our new A-Star cabinet hardware in February 2020. We expect to drive incremental revenues by offering these proven and highly successful games to customers in our established markets where Ainsworth operates, including California and Nevada.”
Ainsworth believes there are opportunities for these products within restrictive gaming and other specific gaming venues in Nevada, California, Arizona and New Mexico. These are markets that currently have a combined market size of approximately 42,000 units.
Ainsworth posted a net loss of AU$4m (US$2.6m) in its first half of the year ended December 31. Mr Levy said that the company was ‘making progress’ in implementing steps–including innovation in game technology and new product development ‘to deliver improved results.’
