Apollo Global Management Gets Final Go-Ahead to Bring IGT Back to Las Vegas

Apollo Global Management can now complete its $6.3 billion purchase of gaming giants IGT and Everi. The Nevada Gaming Commission gave its approval on June 26. This decision means IGT’s gaming operations will return to Las Vegas, ten years after they left the city.

Nevada Regulators Greenlight Apollo’s Formation of New IGT from IGT-Everi Merger

The green light from state regulators, after a one-hour hearing, clears the path for Apollo to merge IGT’s gaming and digital units with Everi Holdings into a new company. This new entity, which will keep the IGT name, will call Las Vegas home and zero in on three main areas: digital gaming, casino systems, and financial tech.

This deal wraps up almost a year of groundwork where Apollo, IGT and Everi sought approvals in 36 different places. The deal’s setup involves Apollo buying IGT’s gaming and digital divisions and then joining them with Everi. IGT’s lottery business will break off and rebrand as Brightstar Lottery, keeping its operations separate.

The investment firm, which already owns the Venetian and Palazzo resorts, stressed its long-term commitment to Nevada. Partner Daniel Cohen told regulators that Apollo’s deep roots in the state’s gaming industry helped smooth out the vetting process, as reported by the Las Vegas Review-Journal. Cohen also highlighted that the new IGT and the Venetian properties together would provide jobs to about 11,000 people in Nevada and generate over $2.5 billion in local revenue.

Nicholas Khin Named Interim CEO as Apollo Prepares IGT Leadership Transition

Nicholas Khin, IGT’s current president of global gaming, got the green light as a key player in the transition and will step in as interim CEO. Hector Fernandez, who used to work at Aristocrat Gaming, is set to take over once his non-compete agreement runs out later this year. When that happens, Khin will go back to heading up IGT’s gaming operations worldwide.

Cohen made it clear that Apollo’s aim with this purchase is not to slash expenses but to create a tougher, more competitive gaming tech company. He described the merger as a calculated move to narrow the performance gap with industry big shots like Light & Wonder and Aristocrat. The company plans to put money into developing new products, grow its steady income streams, and maybe even go public within the next five years.

The deal will get its funding from a blend of loans and investments, with a big chunk coming from Apollo’s own $20 billion Fund 10. More support will come from institutional partners and IGT’s long-standing shareholder, the De Agostini family. The transaction is set to wrap up next week as long as the New York State Gaming Commission gives its final okay.