It hasn’t been two months since American gaming device maker Bally Technologies officially closed its acquisition of casino device company SHFL Entertainment Inc and already, the acquisition is being subjected to some mud-slinging, this time, coming from an analysts’ report issued by Hong Kong financial services firm Oriental Patron.
As far as Ballys was concerned, and what became the root of its statement, the report appeared to side with Paradise subsidiary LT Game and its assertion that it holds a Macau-issued patent on electronic multi-game terminals involving live-dealer baccarat.
What particularly irked Ballys was a line in the analyst’s report, saying that Paradise had “secured its monopoly position in the live multi game (LMG) segment” with SHFL being precluded from the Macau market” due to the legal issues it currently has with LT Game. Well, that line sounded like fighting words in their book, and the company wasted little time making its voice heard, saying that it will “vigorously defend” its newly acquired subsidiary in its legal tussles.
That really shouldn’t come as a surprise because when Ballys officially sealed the deal to purchase SHFL, part of that agreement was incurring the headache stemming from the latter’s prolonged patent battle with LT Game, specifically LT’s argument that it’s in possession of a Macau-issued patent, called “patent I/380”, on electronic multi-game terminals involving live-dealer baccarat.
But now that Bally Technologies owns SHFL, it’s sticking up for its newly-acquired business venture, calling out the aforementioned analysts report as hogwash and a downright manipulation of the truth. In a prepared statement, Ballys also added that “any affirmations or insinuations that patent I/380 or any other patent held by Paradise Entertainment, LT Game, Natural Noble, or any of its subsidiaries or affiliates, grants respective owners with a monopoly over live multi-game solutions constitute false representations and are misleading to the market”.
In so doing, it fired a warning shot to Paradise Entertainment and LT Game. If they want to get down and dirty in the mud, Ballys will be more than happy to bring the lunch pail just so it can defend SHFL’s position to continue selling its products in Macau.