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Light & Wonder is looking like a trendsetter in that regard . IGT is running a process to divest its Global Gaming and PlayDigital arms to focus on its lottery business . Recent reports suggest Playtech may shift its focus to B2C – a bid for 888 failed earlier in the year – and divest B2B operations .
If Light & Wonder scored a competitive advantage by stripping back , others are cottoning on .
In the case of IGT , Wilson sees similarities and wholly endorses a simplified strategy . “ We unlocked a huge amount of value ,” he says . And if competitors are watching Light & Wonder closely , they may follow its other strategic moves .
Opportunities abound in Macau …
HEADING DOWN UNDER The supplier went on to secure a secondary listing on the Australian Stock Exchange , opening up access to new capital . Such was the interest that 15 % of Light & Wonder ’ s market cap now trades on the ASX – well ahead of schedule . “ I think we were pushing against an open door ,” he adds .
Could another company follow suit ? As an outfit with Australian management , business in the country and a track record in the market , Wilson believes Light & Wonder had an ace up its sleeve . “ But I could see other gaming businesses looking at that market as a potential investment opportunity ,” he adds . “ I wouldn ’ t be surprised if someone emulated the same strategy .”
OPPORTUNITIES IN THE FAR EAST The ASX secondary listing provides a firmer foothold for the Asian region . Macau remains the main event , but the Asian opportunity is expanding into Japan , Thailand and Vietnam for landbased , and with Philippines igaming thriving there ’ s a huge opportunity spanning multiple markets .
… and the Philippines
Having lived there between 2007 and 2012 , Macau is close to Wilson ’ s heart . He recently went back for the first time in a decade and sees a can-do attitude that matches somewhere like Las Vegas . “ When I was living there , they even said they ’ d build a bridge from Hong Kong to Macau , which was an hour ’ s ferry ride , 30 miles away . And they built a bridge .
“ You underestimate China at your peril ; they do things on such a big scale ,” he says . “ I think Macau ’ s getting back on its feet .”
However , he believes the biggest coming story in Asia is the Philippines . “ The chairman of Pagcor wants to double gross gaming revenues in a short window of time . That ’ s ambitious ; you have to do things differently to unlock that .
“ That comes with many more integrated resorts . I think they ’ re purchasing a lot of equipment for their
“ I could see other gaming businesses looking at [ Australia ] as a potential investment opportunity ”
30 • ISSUE 135 • ICE LONDON 2024