IGT has signed a definitive €700m agreement to sell its Italian proximity payment business to PostePay SpA – Patrimonio Destinato IMEL.
The dual sale of wholly-owned IGT subsidiaries LIS Holding SpA and LISPAY SpA has an enterprise value of €630m and approximately €70m of net unrestricted cash.
€228m in gross revenues and approximately €40m in EBITDA in 2021 was generated from the business being sold, with IGT set to use the net proceeds of the sale to pay off its debt.
Vince Sadusky, CEO of IGT, commented: “This transaction provides us with an opportunity to monetise IGT’s market leadership in the Italian proximity payment business at an attractive value as we continue to execute our long-term strategy.
“Streamlining our products and solutions portfolio enables us to focus our efforts and resources on our core and strategic assets, as we position IGT for industry leadership and increased shareholder value.”
Services offered range from payments services, including bill payments and prepaid payment cards, to commercial services providing telco and e-vouchers top up, and technological solutions including merchant and enterprise services.
Formalisation of the sale is expected during the third quarter of 2022, subject to customary closing conditions, with UBS AG acting as lead financial advisor and fairness opinion provider to IGT.
In addition, UniCredit SpA is acting as a financial advisor to IGT, Advant-Nctm as legal advisor and KPMG as financial due diligence and tax advisor.