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Filed Pursuant to Rule 424(b)(3)
File No. 333-53893
PROSPECTUS SUPPLEMENT
(TO PROSPECTUS DATED SEPTEMBER 3, 1998)
INNOVATIVE GAMING CORPORATION OF AMERICA
694,935 SHARES OF COMMON STOCK
Our common shares are traded on the NASDAQ National Market under the
symbol "IGCA." The last reported sale price of our common shares on June 16,
1999 was $2.031 per share. Selling shareholders identified in this prospectus
are offering all of the shares to be sold in the offering. We will not receive
any of the proceeds from the offering.
This prospectus supplement reflects a change to the prospectus dated
September 2, 1998 with respect to a) the selling shareholders; b) the number of
common shares beneficially owned by such selling shareholders. This prospectus
supplement should be read together with the prospectus, and highlights and
replaces some information in the prospectus.
SELLING SHAREHOLDERS
As of June 1, 1999, 625 shares of our Series B Convertible Preferred
Shares ("Preferred Shares") had been converted into 685,606 shares of our common
stock. The Selling Shareholders table and footnote 1 in the prospectus is
amended and replaced with the following information:
<TABLE>
<CAPTION>
Amount of Beneficial
Beneficial Ownership Shares Offered By Ownership After the
Name Prior to the Offering Selling Shareholder Offering
- ---- --------------------- ------------------- --------------------
<S> <C> <C> <C>
The Shaar Fund, 923,835 689,935 2.9%
Ltd(1)
Gaming Ventures 5,000 5,000 0%
Corporation
</TABLE>
(1) Includes 689,935 shares of common stock issuable upon conversion of the
Preferred Shares and as payment of dividends thereon in shares of
common stock, at an assumed conversion price of $1.848 per share based
upon the closing bid price of $2.031 per share
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on June 14, 1999. Does not include a maximum of 1,331,500 shares of
common stock issuable upon conversion of Series C Convertible
Preferred Stock beneficially owned by such selling shareholder.
Because the number of shares of common stock issuable upon
conversion of the Preferred Shares and as payment of dividends
thereon is dependent in part upon the market price of the common stock
prior to a conversion, the actual number of shares of common stock that
will be issued in respect of such conversions or dividend payments, and
consequently the number of shares of common stock that will be
beneficially owned by the selling shareholder, will fluctuate daily and
cannot be determined at this time. However, the terms of the Preferred
Shares restrict the selling shareholder's ability to convert Preferred
Shares (and receive shares of common stock in payment to convert
Preferred Shares (and receive shares of common stock in payment of
dividends thereon) to the extent that the number of shares of common
stock held by it and its affiliates after such conversion exceeds 4.9%
of the then issued and outstanding shares of common stock following
such conversion.
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NEITHER THE SECURITIES AND EXCHANGE COMMISSION NOR ANY STATE
SECURITIES COMMISSION HAS APPROVED OR DISAPPROVED OF THESE
SECURITIES OR DETERMINED IF THIS PROSPECTUS SUPPLEMENT OR THE
ACCOMPANYING PROSPECTUS IS TRUTHFUL OR COMPLETE.
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The date of this prospectus supplement is June 17, 1999
