Global Cash Access To Buy Multimedia Games For $1.2 Bln Cash - Quick Facts

(RTTNews) - Global Cash Access Holdings, Inc. (GCA) has agreed to buy all the outstanding common shares of Multimedia Games Holding Company, Inc. (MGAM) for $36.50 per share or nearly $1.2 billion in cash. The transaction is expected to immediately add to GCA's earnings. The company said, the acquisition which is expected to be completed in early 2015, will be funded through committed debt financing. The merger is expected to achieve about $30 million of synergies as a combined entity and on a pro forma basis, is estimated to generate about $800 million in revenues and about $217 million in adjusted EBITDA.

Commenting on the transaction, Ram Chary Chief Executive Officer of GCA said, "The acquisition of Multimedia Games represents a gaming-relevant transformational opportunity to combine two companies with rich gaming heritages and uniquely positions GCA as an important strategic partner to gaming operators by offering them deeper and more integrated solutions across their entire gaming floor".

Upon completion of the transaction, Ram Chary will continue to serve as President and Chief Executive Officer of GCA.