Supreme Ventures Limited (SVL)has announced the agreement to acquire the assets of Champion Gaming Company Limited (CG), a Jamaican-owed company with over 1,200 machines in the Route Video Lounge Terminal, (VLT — slot machines) business in Jamaica, representing around 15 per cent of the slot machines market operating in the island.
In a statement, the group referenced a recent BGLC report which noted that over 8,000 slot machines are currently operating in the island. Bingo Investments, the group’s subsidiary will sign the deal in which the majority stake in Champion will be acquired.
The company expects this transaction to be accretive to earnings and adds that the acquisition is strategically aligned with SVL’s strategy to expand in new and existing market segments and product streams. The new acquisition will also enable better partnerships with small business owners who benefit significantly from the slot machine industry, providing a partnership with a stronger entity, and enabling better representation of their interests at the regulatory table, the company said.
President & CEO of Supreme Ventures Limited, Ann-Dawn Young Sang said that with this acquisition, the company will be able to achieve greater economies of scale, leverage its synergies, and solidify its market position while expanding its product base in the gaming slots industry. This investment in the Jamaican market by a Jamaican company, she said, shows the organisation’s confidence in the economy and cements the viability and strength of the market for further investments.
“We continue to execute on our growth and expansion strategy, which creates value for our employees, our over 5,000 shareholders, and our main partner, the Government,” stated Young Sang.
She emphasised that the strengthening of the partnership between SVL and the Government is essential to the sustained growth and development of the country’s economy, as SVL is one of the country’s largest tax contributors.
She added that operationally, the current Chairman and General Manager Damian Chin-You and Preston Chin, will each remain in their positions for another year during the transition process. During this time a new board will be appointed.
The deal is expected to be finalised in January 2020.