Pacers signing Ethan Thompson, waive RayJ Dennis

The Pacers are making a two-way swap on the back end of the roster.

Indiana is signing guard Ethan Thompson to a two-way contract and waiving RayJ Dennis to create the opening, per Michael Scotto of HoopsHype.

Thompson had been with the Heat on an Exhibit 10 deal before being waived in camp. He has been lighting it up for Miami’s G League affiliate, averaging 26.9 points, 6.5 assists and 5.8 rebounds in eight games while hitting 36.8 percent of his threes on 8.5 attempts per night.

That kind of production will always get a front office’s attention.

Dennis appeared in 13 games for the Pacers and averaged 4.9 points in 12.9 minutes. He showed more scoring pop in the G League at 20.5 points and 8.5 assists in two outings, but the outside shot never really clicked, with Dennis hitting 25 percent from three in the G League and 31.6 percent in the NBA.

Indiana is clearly betting on Thompson’s shooting and scoring translating to the next level.