Accel Considering Chicago on VGT Plan, Could Realize Revenue Later This Year
Posted on: January 8, 2026, 07:54h.
Last updated on: January 9, 2026, 05:03h.
- Chicago could approve video gaming terminal (VGT) licenses to raise tax receipts.
- Accel is already the dominant distributed gaming operator in Illinois.
- Company says it could generate revenue later this year if city approves VGTs.
Distributed gaming company Accel Entertainment (NYSE: ACEL) said today it is evaluating opportunities in the Chicago market as that city ponders approving video gaming terminal (VGT) licenses.
In a bid to boost tax receipts, policymakers in the Windy City are mulling a plan to legalize VGTs, which the City Council Office of Financial Analysis (COFA) estimates would generate $64 million in yearly revenue. That forecast implies a lucrative market for license holders and gaming companies like Accel.
Based on existing legislative revenue splits, and further stated in the COFA’s analysis, these estimates suggest a total annual Chicago VGT gross gaming revenue (GGR) of $1 billion incremental to the existing $3 billion generated in the rest of the state, once fully implemented,” said Accel in a statement.
The Chicago-based company said the COFA analysis indicates it could take a decade to fully implement the VGT scheme in the city, but Accel could generate revenue as soon as the third or fourth quarter of this year if the plan is rolled out soon.
Accel Already Big in its Home State
Accel Entertainment already has a significant footprint in its home state. By some estimates, it relies on Illinois for approximately three-quarters of its revenue.
The company, which controls one of the largest gaming machine portfolios in the industry, has used acquisitions to diversify its geographic exposure, using bolt-on deals to increase its presence in markets such as Louisiana and Northern Nevada, among others. Accel also has distributed gaming routes in Georgia, Montana, and Nebraska.
While the company already relies on Illinois for a massive percentage of sales, the allure of Chicago is likely too strong to ignore. It is, after all, the third-largest US city and one that’s gaming-enthusiastic. Fortunately for Accel investors, the company anticipates prudent spending if the VGT plan moves ahead.
“From a capital deployment perspective, Accel believes it is well positioned to leverage its strong balance sheet, existing fixed operating infrastructure, route management capabilities, and fixed asset base to capitalize on opportunities in a Chicago VGT market, subject to customer acquisition rates and final regulatory requirements,” according to the statement.
Accel Monitoring the Situation
In Illinois, VGT operators garner a split equivalent to 32.04% of GGR so if the company’s base case scenario of Chicago being a $1 billion VGT market is accurate, that works out to $320 million “of expected incremental Net Terminal Income for the licensed VGT operator community operating in Chicago.”
If Accel were to control a significant portion of that figure, it could be a catalyst for a stock some analysts argue is underappreciated. For now, the company is monitoring the situation in Chicago.
“In anticipation of the finalization of Chicago’s VGT regulatory and operating framework, Accel will continue to assess its capital deployment strategy for Accel’s expected participation in a Chicago VGT market, including ramp timing, and marginal costs to service new accounts,” it said in the statement.
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