More on the Scientific Games-Bally Technologies deal

|About: Scientific Games Corp (SGMS)|By:, SA News Editor

The combination of Scientific Games (NASDAQ:SGMS) and Bally Technologies (NYSE:BYI) will create a gaming and lottery juggernaut able to stir up $220M in annual cost synergies and $25M in annual capex spending savings, according to the companies.

The pairing will also see "accelerated utilization" of various tax attributes on U.S. income which will help the bottom line.

The lush premium paid for Bally could give a lift sector peers Multimedia Games (NASDAQ:MGAM) and International Game Technology (NYSE:IGT) today.

Premarket: IGT +1.9%, MGAM no action yet.