NEW YORK (AP) -- A Scientific Games subsidiary plans a private offering of $250 million senior subordinated notes due 2020.
The instant-win lottery ticket company said Wednesday that it expects to use the offering's net proceeds to redeem or buy back senior subordinated notes due 2016 and to pay accrued and unpaid interest. It also plans to use some of the proceeds for general corporate purposes, which may include funding potential acquisitions, capital expenditures and stock buybacks.
On Tuesday shares of Scientific Games Corp. dropped more than 7 percent as an analyst downgraded the company, partly because of increasing competition and slowing business in China.
Shares of Scientific Games gained 58 cents, or 9.4 percent, to $6.78 in afternoon trading Wednesday. The stock has traded in a 52-week range of $5.53 to $13.08.