Twin River Worldwide Holdings, Inc., a Providence, R.I.-based multi-state casino operator, on Tuesday said it intends to offer $125 million in 6.750% senior unsecured notes in a private offering.
The company said it intends to use the net proceeds of this offering for “general corporate purposes,” which it noted could include, in addition to funding operations, acquisitions and other transactions.
At the same time, the company released its preliminary third quarter operating results. Twin River said for the three months ending Sept. 30, it expects consolidated revenue will range from $100 million to $130 million, and adjusted EBITDA will range from $30 million to $40 million.
Twin River added it expects to be cash flow positive in Q3 2020, excluding its acquisition of Casino KC and Casino Vicksburg. It ended the quarter with liquidity in excess of $360.0 million, inclusive of availability under its revolving credit facility. The company said it anticipates reporting final third quarter results in late October or early November.
If the estimates hold up, the company’s Q3 results will represent an improvement over the second quarter, when operations were “significantly impacted” by COVID-19 shutdowns. Its Q2 2020 revenue was just $29 million, down 79.8% from the $143 million it made in the second quarter of 2019. Twin River posted a net loss for Q2 2020 of $23.6 million after netting $17 million in Q2 2019.
Adjusted EBITDA for the second quarter of 2020 was negative $11 million, a decrease of $58 million, or 123%, from positive adjusted EBITDA of $48 million in the second quarter 2019.
Twin River owns and manages nine casinos: two in Rhode Island, two in Mississippi, one in Delaware, one in Missouri and three casinos as well as a horse racetrack that has 13 authorized OTB licenses in Colorado.
