NYX GAMING GROUP LTD 11 PCT DEBS V.NYX.DB

Bruce Campbell

[retiredcf]

First stock in the clip. GLTA

https://www.bnn.ca/Video/player.aspx?vid=617534

Last purchased at $4.30.

NYX Gaming is a digital gaming and software supplier that specializes in developing, manufacturing and distributing digital gaming content for online and land based casino operators. NYX Gaming is consolidating the highly fragmented gaming industry and recently announced the acquisition of the Amaya Gaming’s Online Assets. The stock sold off more than 15 percent following the announcement largely driven by the potential overhang of an equity issuance. The business produces high recurring revenues and high conversion to Free Cash Flow (FCF). Management and the board are large shareholders owning over 40 percent of the company.

2015-05-20

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Bruce Campbell (2)

The little cousin to Amaya (AYA-T) and Intertain (IT-T). They develop the actual games that Amaya and Intertain would use on their websites and mobile apps. Has been growing by acquisition, and just made another small one today. Also, had the acquisition from Amaya’s Cryptologic assets. When that was announced, the stock sold off by about 15%, because the market was concerned about an equity issue. They are certainly going to have to raise some money from an equity standpoint as well as from a debt standpoint. He doesn’t know how that equity looks right now, but chances are that when it does get announced it could either be a private placement or a bought deal, and chances are it’s going to fly off the shelf. If you want to position yourself ahead of that, he thinks it is a pretty attractive valuation. Trades at great free cash flow yields and management owns about 40% of the stock. / Be the first to comment Tweet finance

Price: $4.460 Subject: CANADIAN Bias: OPTIMISTIC Owned: Yes