Why Scientific Games' Stock Is Trading Higher Today

Scientific Games Corporation (NASDAQ: SGMS) shares are trading higher after announcing new institutional investors would take a stake in the company at $28 per share. Shares are being purchased from current shareholders.

The transaction between the investing parties and MacAndrews & Forbes is expected to be executed in multiple tranches after which no investor is expected to beneficially own more than 9.9% of the outstanding shares of Scientific Games, the company said in a press release.

Scientific Games develops technology-based products and services, and related content for the gaming, lottery, social and digital gaming industries in the United States and internationally.

Scientific Games' stock was trading up 48.3% at $28.11 per share on Monday at the time of publication. The company has a 52-week high of $31.63 and a 52-week low of $3.76.