AGS completes 12 months as a private company and reports record revenue in the US.

AGS has completed nearly 12 months under its new privately owned structure. Brightstar Capital Partners acquired the global provider of slots , table games, and interactive products for $1,1 billion. The transaction has been approved by Nevada regulators and is expected to close in the third quarter of 2025.

Kimo Akiona, CFO of AGS, appeared before the Nevada Gaming Commission to present a report on the company's performance. The executive has worked at the company for 11 years. According to information from CDC Gaming, Akiona informed the regulatory body that 2025 marked the fifth consecutive year of revenue and EBITDA growth for AGS. Both indicators reached historical records.

“On the financial front, the company is doing very well. The pace continues to accelerate and our prospects are excellent,” said Akiona. “We are at record levels of organic internal investment in the company, mainly in our research and development group and in the commercial area. Brightstar has been very supportive. They are very engaged and are encouraging us to accelerate some of the plans we already had underway.”

Brightstar Capital Partners is a private equity firm that focuses investments on industrial, manufacturing, and mid-market service businesses. The transaction aimed to boost AGS's global expansion.

Apollo Global Management acquired a stake in AGS in 2013. It led the company's initial public offering in 2018. It sold its shares in 2022.

Brian Krolicki, a member of the Nevada Gaming Commission, noted during the meeting that there appears to be a movement of entities migrating from the public to the private corporate sector. The commissioner cautioned that he does not yet consider this a consolidated trend.

“We need to talk about this,” Krolicki said. “We understand that a publicly traded company has certain values, but if you don’t take advantage of those opportunities, perhaps it’s more appropriate to be a private company. Most companies aspire to go public, and we’ve already seen some go private.”

Akiona agreed that there have been several transactions in the gaming industry where companies that were publicly traded have become privately held.

“If you analyze the logic behind these transactions, you’ll see that it’s quite consistent,” said Akiona. “The advantages of being a publicly traded company are access to capital markets and the ability to raise funds to support strategic objectives. Sometimes, operational performance isn’t fairly rewarded. These factors are usually outside our control; perhaps an industry isn’t favorable to the stock market. Or the size of the company is a problem. We were a micro-cap company operating in certain macroeconomic scenarios.”

The AGS CFO explained the benefits of operating as a private company compared to the open capital market.

“We are not operating at the quarterly pace where public markets evaluate you every 90 days,” said Akiona. “In running this company, we seek to make decisions that are in the best interest of our shareholders and owners in the long term. Sometimes this means investing in our R&D team, and other times expanding a new studio. In some cases, the costs don’t impact profit and loss in the way that public markets might perceive, but we know that, for the long-term interest of the company, this is the right decision. The private market is a better environment for a company like ours, allowing us to organically invest in ourselves to sustain long-term growth.”

AGS has expanded its workforce since its acquisition by Brightstar Capital Partners. The company now employs over 1.000 people, 150 of whom are based in Nevada, where its corporate headquarters are located.

“If you compare the number of employees at the closing of the transaction with today, you’ll see that we’ve actually grown,” said Akiona. “This is a transaction based on growth and investment in the business. It’s not a transaction where we’re under the control of a private equity firm that comes in to cut costs, increase margins, and restructure the company. Brightstar, as our sponsor, is not only bringing financial support, but also, philosophically, if you analyze the company, you’ll see that it’s very focused on operational excellence.”

AGS focuses its operations in North America, operating in the United States, Canada, and Mexico, but the company also operates in other Latin American countries and in Brazil with Video Lottery Terminals (VLT). It operates 23 leased machines, mainly distributed between the United States and Mexico.

Akiona responded to Krolicki's questions about the company's interest in the Brazilian market. The executive indicated that Central and South America represent opportunities for the company.

“For us, the first phase of this growth will come from the sale of our slot machines in various markets, mainly through distributors,” said Akiona. “Brazil is a long-term project for which we want to be prepared should the country adopt Class III gaming regulations. In the meantime, we have been working on different game content and cabinets for this market.”

The strategy for Brazil involves developing specific content and equipment. The company is awaiting possible regulatory changes in the country.