Casino Companies To Merge In $1.7B DealEldorado Resorts To Acquire Isle Of Capri Casinos |
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Eldorado Resorts and Isle of Capri Casinos announced this week that the former will acquire the latter in a deal worth $1.7 billion.
The merger includes $929 million of long-term debt of Isle of Capri and its subsidiaries, the companies said.
“Following the completion of the transaction, Eldorado will benefit from increased operational and geographic diversity as it will add thirteen casino–resorts to its portfolio, for a total of 20 properties in 10 states,” the companies said.
Eldorado already operated a handful of casinos between Reno, Nevada as well as West Virginia, Pennsylvania, Ohio and Louisiana. Combined revenue from the companies would have been $1.8 billion in the 12 months prior to July, the companies said.
“The acquisition of Isle of Capri represents a transformational growth opportunity for Eldorado and is a significant milestone in the successful ongoing execution of our long-term strategy to opportunistically expand our regional gaming platform through accretive acquisitions," Eldorado CEO Gary Carano said.
“In the last two years we have created tremendous value for our shareholders as the scale of Eldorado Resorts will grow from two wholly-owned properties and a 50 percent interest in a third property in two markets in 2014 to 20 properties in 10 states after completing the transaction.”
Eldorado has received $2.1 billion in financing from J.P. Morgan.
The deal is expected to close in the second quarter of 2017.
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