Regulators to review gambling co. merger
State regulators say they will review a license with Scientific Gaming, which provides oversight for the state's slot machines, after the company's announced acquisition of the gaming company WMS Industries.
The Bangor Daily News reported the $1.5 billion acquisition, expected to close at the end of this year, would add to Scientific Games' sales and distribution operations of WMS, which is one of five slot machine sellers licensed to do business in Maine.
Patrick Fleming, executive director of the five-member Maine Gambling Control Board, told the paper that the board would not have to issue a new license to Scientific Games, but would review the structure of the combined company to see if it meets the terms of its current license.
The company now collects 0.88% of the net slot machine revenue for its oversight work. All slot machines at the state's two casinos connect to a system that provides real-time revenue figures. Auditors then compare those numbers to casino-reported figures.
The contract, which was worth an estimated $5 million in 2012, is scheduled to expire in 2017.
Fleming told the paper he's preparing an analysis of the proposed acquisition for the state's gaming regulators.
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