Golden Entertainment announced Monday that it has entered into a definitive agreement with Marnell Gaming to acquire Edgewater Hotel & Casino in Loughlin, Nevada, and Colorado Bell Casino Resort & Micro Brewery.
The purchase price is based on a combined 8.0x trailing 12-month adjusted EBITDA of the two properties as of November 2018, with a minimum price of $168 million and a maximum price of $190 million. Including expected cost synergies and cash earned, the purchase price is expected to represent an implied trailing 12-month adjusted EBITDA multiple of 6.5x.
The consideration for the purchase will consist of $155 million in cash and a balance of restricted shares issued at a price of $28.54 per share.
The transaction will be financed by incremental debt and cash held, depending on the company's credit facility. With the offer for the transaction, the company's net leverage is expected to be less than fivefold at the close. The company expects the acquisition to be positive for cash flow and additional to immediate operating results.
"The acquisition of Edgewater Hotel & Casino Resort and Colorado Bell Hotel & Casino Resort represents an exciting opportunity to expand our portfolio to nine fully owned casino resorts in Southern Nevada, solidifying our presence in this growing and engaging gaming market. This transaction aligns with our strategy to grow our business for our shareholders and Golden is uniquely positioned to immediately benefit from the cost synergies associated with these real estate acquisitions."
Edgewater Hotel & Casino Resort and Colorado Bell Hotel & Casino Resort both have more than 1,400 slot machines, 40 table games, and 2,150 hotel rooms. The property also has 11 restaurants and dedicated entertainment venues, including the Loughlin Event Center. The Loughlin Event Center is an outdoor stadium with 12,000 seats and hosts several headline concerts and other events throughout the year. Both of the accommodations are adjacent to Golden's current Loughlin accommodation, the Aquarius Casino Resort, which features more than 1,200 slot machines, more than 30 table games, and nearly 2,000 hotel rooms. Combined, these three accommodations will be located on 55 acres adjacent along the heart of the Loughlin Riverwalk.
Mr. Sartini said, "The Manell family has a long history in the gaming industry, including some of the most iconic resorts that currently define Las Vegas resort corridors. Over the past few years, Manell Gaming has leveraged their expertise to build a significant hotel, casino, and entertainment presence in Laughlin, and we are excited to build these well-located properties. As a result of this transaction, I am excited to welcome Anthony Marnell III as a shareholder of Golden Entertainment."
The transaction is expected to close in the first quarter of 2019, subject to customary closing conditions and all necessary regulatory approvals. 안전한 파워볼사이트
Latham & Watkins LLP served as Golden Entertainment's legal adviser for the deal, while Holland & Hart LLP served as Marnell Gaming's legal adviser.
0コメント