Ainsworth's latest project, Ainsworth Game Technology, is to merge with Russia's largest casino and gaming equipment supplier Unicum

Australian mogul strikes a deal with Russia’s largest gaming equipment supplier

The founder of Aristocrat Leisure Len Ainsworth has made public its plan to merge his latest project, Ainsworth Game Technology, with Unicum, Russia's largest supplier of casino and gaming equipment. According to Australian gaming mogul Ainsworth, the deal is expected to create a $1billion business.

"Between St Petersburg and Sydney and Melbourne, we'll have major plans that will enable to cope with almost any expansion that might come our way," commented on the plans Ainsworth who is delighted with the potential of the Russia market. The former Soviet Union country currently experiences substantial growth of the domestic economy that is driving gambling growth.

Unicum is a private group of companies owned by Boris Belotserkovsky and already assembles and distributes AGT machines. In the next three years, it is planning to create its own base of installed poker machines. In the fiscal year to December 31, the company generated revenues of $US180 million ($229 million), and net profit of close to $US37 million.

At the moment, Ainsworth and his wife own 70 per cent of AGT, however, under the combined entity his stake is likely to be diluted to 20-25 percent. Ainsworth thinks the new large-scale project will give an opportunity to compete with big players such as US-based IGT and Aristocrat.

According to the preliminary talks, Belotserkovsky has to become president of the merged entity, while Mr Ainsworth will be the chairman. Former senior Aristocrat staffer David Creary has been brought into to oversee the Australian and export business. However, the merger is yet to be completed and the initiative has to be approved by shareholders.