Light and Wonder enters billion-dollar deal with Grover Charitable Gaming

February 19, 2025

Light and Wonder enters billion-dollar deal with Grover Charitable Gaming

Gaming equipment and services group Light & Wonder (L&W) has announced the acquisition of Grover Gaming’s charitable gaming assets. The acquisition deal between Light & Wonder and Grover Gaming involves an initial cash payment of $850 million, and a four-year earn-out arrangement based on revenue performance, with the potential for an additional $200 million in cash.

Under the terms of the agreement stated in the company release, Garett Blackwelder, the founder of Grover Charitable Gaming, will collaborate with L&W over the next three years. Grover Gaming’s established footprint across five states provides L&W with access to a loyal customer base, along with a robust infrastructure of over 10,000 leased electronic pull-tab units. The acquisition deal is subject to regulatory approval, which is expected to be finalised by the second quarter of 2025.

Light & Wonder expects to operate the business with a combination of employees from both companies, post-acquisition. Once approved, Light & Wonder will integrate Grover Gaming’s assets into its operations. It will strengthen L&W’s foothold in the rapidly growing charitable gaming market, providing an extensive customer base, a proven revenue model, and access to new geographic markets.

Official comments

“Grover Gaming is a leading player in charitable gaming, a category that has experienced significant growth in recent years,” Matt Wilson, President and Chief Executive Officer of Light & Wonder said. He added, “Importantly, there are exciting incremental revenue opportunities to be realized by leveraging Light & Wonder’s proven land-based gaming content to a new and loyal customer base.”

Garett Blackwelder, CEO and Founder of Grover Gaming said, “Light & Wonder is an ideal partner for us, given our similar company cultures and dedication to innovation and customer service. We are excited to see Charitable Gaming taken to a new level!”

New office and credit facility

The company recently announced a $1 billion revolving credit commitment. The new agreement, which has been secured with several major banks and financial institutions, replaces the company’s prior revolving commitments of $750 million. The new deal extends the maturity of these commitments until from 2027 to 2030, offering the company more financial flexibility.

On February 10th, 2025, L&W’s wholly owned subsidiary Light & Wonder International, Inc. (L&WPI), entered into an amendment to its existing Credit Agreement. This step marks an important shift for the company as it enhances its financial capacity amidst ongoing legal challenges and industry competition.

L&W has also opened a new office and showroom in Clark, Pampanga, reinforcing its commitment to the Philippines and the broader Asian market. The facility, located on Manuel A. Roxas Highway, spans 580 square metres and serves as a strategic hub for the company’s regional operations.