PlayAGS announced it has entered into a definitive agreement to acquire all issued and outstanding common shares of Integrity Gaming Corp. for a cash payment of C$0.46 per share or a total transaction value of $49M, which includes repaying $36M of Integrity's outstanding debt. The transaction is expected to be funded with cash on the balance sheet and to close in the first half of 2019, subject to approval by Integrity's shareholders, receipt of applicable regulatory, court, and third-party approvals, and other customary closing conditions. In fiscal 2017, Integrity generated revenue of approximately $16M and pre-synergy EBITDA of approximately $9M. As a result of revenue optimization and other efficiencies, the company expects that adjusted EBITDA will grow at approximately 15% on an annualized and non-GAAP basis, beginning in fiscal 2019.
