Aristocrat to Buy Video Gaming for $1.3 Billion

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Aristocrat Leisure Ltd. agreed to buy Video Gaming Technologies Inc. for about $1.3 billion to triple its North American business amid falling profit in Australia.

The purchase of closely-held Franklin, Tennessee-based Video Gaming Technologies by the Sydney-based gambling machine supplier will be partly funded by an underwritten institutional placement of A$375 million ($351 million), Aristocrat said in a regulatory filing. The company will also arrange new debt facilities totaling almost $1.4 billion to finance the takeover and to repay existing borrowings, it said.