Bally Technologies signs deal with Sun International
Bally Technologies signed an agreement Wednesday with Sun International Ltd. to provide a slot machine management system and server-based gaming at the company's 17 casinos, which are in Africa and South America. Terms of the contract were not released.
Installation of the server-based gaming system is scheduled to begin by mid-2012 in all 17 casinos, which encompass 12,000 slot machines.
JP Morgan gaming analyst Joe Greff reminded investors that Bally struck a similar deal recently with Caesars Entertainment Corp.
"This is the second commitment from a large casino operator to announce a large systems deal with Bally," Greff said. "We like this trend."
Jefferies & Co. gaming analyst David Katz estimated the contract could be worth as much as 10 cents per share per quarter for Bally once the system is implemented.
Katz also said that casino operators are continuing to show more of a trend toward investing in technology to manage the casino floor, rather than purchasing new gambling equipment.
