Australia's Ainsworth Calls Off Merger With Russia's Unicum
Poker machine maker Ainsworth Game Technology Ltd (ASX:AGI) today called off its proposed merger with Russia's Unicum Group.
Ainsworth said it was unable to reach agreement with Unicum on a number of commercial matters.
Ainsworth chairman Len Ainsworth said the two companies would continue to build their relationship despite the breakdown of the talks.
"We have tremendous respect for the major position that Unicum has established in the Russian gaming market and I look forward to further developing our relationship with Unicum for our mutual benefit," he said.
"Both Boris Belotserkovsky, Unicum's president, and I remain committed to bringing value to each company by way of an ongoing commercial relationship.
"To this end, the companies will continue to actively seek other strategic opportunities for cooperation in the future."
Ainsworth announced in February that it was considering a merger with Unicum, Russia's largest casino and gaming equipment supplier.
Ainsworth has been struggling this financial year, posting a net loss of $A1.83 million ($US1.41 million) for the six months to December 31, 2004.
The company said its lacklustre performance was linked to a contract delay, caused when a client's software problems prevented the connection of Ainsworth machines.
2005-03-12
