Operatornieuws
US – Century Casinos completes Nugget deal in Reno
By Phil - 3 april 2022
Century Casinos has completed the acquisition of 50 per cent of the membership interests in Smooth Bourbon from Marnell Gaming for $95m.
PropCo owns the land and building underlying the Nugget Casino Resort and has entered into a lease with Nugget Sparks, which operates the Nugget Casinoresort, for an annual rent of $15m. The Company will receive $1.9m per quarter (before any expenses pursuant to the lease) for its share of the rent from OpCo.
The company entered into a Membership Interest Purchase Agreement with the Seller in February 2022 to acquire the PropCo membership interests and to purchase 100 per cent of the membership interests in OpCo for an additional $100m. The purchase of OpCo is expected to occur within one year and is subject to approval by the Nevada Gaming Commission. Following the Second Closing, the company will own the operating assets of the Casino and 50 per cent of the membership interests in PropCo. The company also has a five-year option to acquire the remaining 50 per cent of the membership interests in PropCo for $105m plus two per cent per annum.
The company financed the Acquisition with a new credit facility that was issued by Goldman Sachs Bank USA on the closing date. The credit facility also refinanced the company’s existing debt and will finance the OpCo purchase on the Second Closing.
“We have been looking at entering the Reno market for a long time, and we believe the Nugget is a perfect fit for our portfolio. We look forward to welcoming the great team at the Nugget to Century Casino's,” Erwin Haitzmann and Peter Hoetzinger, Co-Chief Executive Officers of Century Casinos remarked. “We believe there is a lot of upside to this transaction and that we identified some areas of improvement to continue the Nugget’s growth. We expect the Nugget to seamlessly integrate and provide added synergies for Century Casinos’ US portfolio,” they concluded.
Nugget Casino Resort is gelegen in Sparks, Nevada, gunstig gelegen aan de Interstate 80 met gemakkelijke toegang vanaf de internationale luchthaven Reno-Tahoe (ongeveer vijf kilometer). Het full-service resort omvat een grote speelvloer, twee hoteltorens, 110,000 vierkante meter aan congresruimte, een amfitheater met 8,555 zitplaatsen, een breed scala aan informele en verfijnde eetgelegenheden naast verschillende bars en lounges ter plaatse, en een Parkeergarage van 5 verdiepingen met 1,200 plaatsen en 1,272 extra parkeerplaatsen. Het pand bestaat uit 50,200 vierkante meter aan casinoruimte, 859 speelautomaten, 29 tafelspelen, 1,382 hotelkamers en zeven eetgelegenheden. Het Nugget Casino Resort had een netto operationele omzet van $100.4 miljoen en een aangepaste EBITDA van $32.8 miljoen op basis van voorlopige resultaten voor het jaar eindigend op 31 december 2021.
