Century Casinos has announced the completion of an agreement to acquire the Nugget Casino Resort in Sparks, Nevada.
Per the terms of this deal, Century will acquire 50% of the PropCo-owned Smooth Bourbon and 100% of Nugget Sparks for a total fee of $195m.
As part of the agreement, Century can purchase the remaining 50% of PropCo for a fee of approximately $105m. The initial fee for Smooth Bourbon is recorded to be $95m.
Presently, the agreement is under examination from the Nevada Gaming Commission and will go ahead following approval from the regulatory body.
"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 Casinos," Erwin Haitzmann and Peter Hoetzinger, Co-Chief Executive Officers of Century Casinos noted.
Goldman Sachs has also played a role in the completion of this deal. The banking giant has provided a commitment letter of $350m in senior secured term loan financing.
"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.
Located in Sparks, Nevada, the Nugget Casino Resort includes a gaming floor, a 11,000 square feet of convention space, a 8,555 seat amphitheater and two hotels.
