Browse articles by topic

Bally’s reports Q1 revenue growth as it raises funds for Gamesys acquisition


US operator Bally’s Corporation has announced its revenue exceeded $185m during the first quarter of 2021, as it prepares to acquire UK-based online operator Gamesys. 

Adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) for the same period was in excess of $50m, and both figures represent a marked increase on the same period in 2020, when Bally’s reported $109.1 million in revenue and $22.1 million in Adjusted EBITDA.

These increases can be attributed to a relaxation of Covid-19 protocols which were in place for much of 2020, including the final weeks of Q1.

Bally’s president and CEO George Papanier said: “We are extremely encouraged by our trends and March numbers. Increased demand assisted by a relaxation of Covid-19 restrictions contributed to outstanding performance toward the end of the quarter, which, based on early indications, has continued into April.

“We believe this combination of factors will set us up for a strong 2021 as we continue to welcome more and more Bally’s customers back to our casinos, as well as enhance our igaming platform.”

The increase in revenue coincides with the company announcing commencement of public offerings of stock designed to raise $600m, as well as an additional $250m of tangible equity units.

The tangible equity units, which consist of a prepaid contract to purchase Bally’s stock and an amortizing note due in 2024, will be on the New York Stock Exchange under the symbol “BALX.”

As well as ‘general corporate purposes’, money raised from the offering will go towards funding the company’s merger with Gamesys, for which details were finalized today.