Gaming Supplier AGS To Be Acquired by Brightstar Capital in $1.1 Billion Deal

PlayAGS, Incorporated — a leading global gaming supplier known for its slot, table, and interactive products — has officially entered into a definitive agreement to be acquired by affiliates of Brightstar Capital Partners in a deal valued at approximately $1.1 billion.

The acquisition, unanimously approved by AGS’s Board of Directors and recommended for stockholder approval, will provide shareholders $12.50 per share in cash, representing a substantial premium to recent stock performance.

Brightstar Capital Partners, a middle-market private equity firm focused on industrial, manufacturing, and services businesses, views the acquisition as a strategic opportunity to enhance AGS’s diverse gaming offerings and drive long-term growth.

• Brightstar’s vision: Founder and CEO Andrew Weinberg expressed confidence in investing strategically in AGS’s innovative product pipeline and development capabilities.

• AGS leadership’s response: CEO and President David Lopez highlighted the agreement’s benefits for shareholders and its potential to strengthen AGS under Brightstar’s ownership.

• Industry perspective: Brightstar Partner Roger Bulloch emphasized AGS’s strong product portfolio and reputation, noting the partnership’s potential to enhance global customer value.

Regarding transaction logistics:

• Advisors: AGS is financially advised by Macquarie Capital and legally represented by Cooley LLP.

• Brightstar’s counsel: The firm is advised by Jefferies LLC (with Barclays and Citizens JMP Securities providing additional support) and legally represented by Kirkland & Ellis LLP.

• Financial reporting: AGS has canceled its first-quarter 2024 earnings call and will instead file its 10-Q report with the SEC as required.

• Closing timeline: The acquisition is expected to close in the second half of 2025, pending regulatory and customary approvals.

• Post-acquisition: AGS will become a privately held entity, with shares delisted from public markets.

Brightstar Capital Partners, known for its “Us & Us” approach, focuses on operational excellence and collaboration with portfolio companies. Its strategy centers on unlocking value, driving strategic growth, and positioning partners like AGS for long-term success.