Accel Entertainment Broadens US Reach with Toucan Gaming Acquisition

Accel Entertainment has made a significant move to expand its footprint in the U.S. gaming market, focusing on the southeastern region with its recent acquisition of two Louisiana-based companies. Accel acquired 85% ownership in both Toucan Gaming, LLC, and LSM Gaming, LLC, in a deal valued at approximately $40 million. This acquisition aligns with Accel’s strategy to grow both organically and through targeted acquisitions, furthering its influence across Louisiana’s video poker landscape.

Following the acquisition, the combined entity will operate under the Toucan Gaming brand across Louisiana. The operational leadership will remain under Stan Guidroz, the current CEO of Toucan Gaming, who will continue to hold a 15% stake in the company. Known for his industry expertise, Guidroz will guide the growth of Toucan alongside Accel, ing the company’s broader objectives.

The transaction is anticipated to drive substantial financial gains for Accel in the coming year. In 2025, Toucan Gaming’s operations are projected to generate approximately $25 million in revenue and $6 million in adjusted EBITDA. Furthermore, the acquisition broadens Accel’s operational network by adding 13 truck stop locations with a total of 450 gaming terminals and 60 3-machine establishments featuring 180 terminals.

Andy Rubenstein, CEO of Accel, expressed optimism about the acquisition’s impact on the company’s expansion goals. “The acquisition of Toucan further expands Accel’s reach into the attractive southeastern U.S. market, where we believe there is significant untapped demand and aligns with our ongoing strategy to expand Accel’s presence both organically and through acquisitions,” he said.

Rubenstein emphasized the alignment between the two companies, noting that Toucan’s values and entrepreneurial spirit mirror those of Accel. “Toucan is a well-run and highly respected company that shares many of Accel’s values and entrepreneurial attributes. I am confident Toucan is the perfect partner for our company, and we look forward to helping Stan grow the brand.”

Guidroz echoed this enthusiasm, recognizing the acquisition as a pivotal step for Toucan Gaming. “Today’s announcement with Accel is an exciting next step for the evolution of Toucan Gaming. By partnering with an industry leader like Accel, we can quickly accelerate our growth plans and leverage the many benefits that increased innovation and scale brings to our establishment owners and playing customers,” he stated. Guidroz expressed confidence in Accel’s ability to Toucan’s development, furthering its role in the southeastern U.S. gaming market under the Toucan brand.

This acquisition comes on the heels of Accel’s impressive third-quarter financial results for 2024. The company reported a record $302.2 million in revenue, paired with an operating income of $21.8 million. This solid financial performance underscores Accel’s strategic approach to expansion, demonstrating its ability to leverage acquisitions to sustain growth.

As Toucan Gaming becomes part of the Accel network, the combined business is poised to strengthen Accel’s presence in U.S., with ambitions to continue expanding in the region.

This latest acquisition signals Accel’s commitment to growth in underserved areas, capitalizing on Toucan’s established brand and local expertise. With an experienced leadership team and expanded resources, Toucan Gaming, under Accel’s ownership, will be well-positioned to meet the rising demand for gaming services across Louisiana.

Source:

”Accel Entertainment expands into Louisiana”, gamingamerica.com, November 05, 2024.