GPIC to acquire GemGroup
Casino currency and table game equipment provider Gaming Partners International Corporation (GPIC) has entered into a binding letter of intent to acquire the assets of casino currency, cards and table layouts manufacturer GemGroup.
Privately-held manufacturer GemGroup sells its products primarily under the Gemaco brand.
Both companies expect the transaction to be completed on or before June 30, 2014.
Gregory Gronau, president and chief executive officer of GPIC, said the company’s consolidated revenues have the potential to grow by more than 30% as a result of the acquisition.
“This acquisition strengthens our card manufacturing capabilities and increases our US market share in both playing cards and table layouts, two important sources of recurring revenue,” Gronau said.
“Further, it expands our product offerings in the growing Asia-Pacific region as Gemaco has a strong market presence in the layout business there.
Kaye Summers, president and chief executive officer of GemGroup, added: "This transaction will be mutually beneficial for our customers and employees given both companies strong brand recognition in casino products.”