Century Gaming is broadening its reach within the Great White North! They’ve inked an agreement with Vici Properties to acquire a quartet of gaming establishments, bolstering their already substantial holdings.
The transaction, anticipated to finalize in the latter part of this year, encompasses some of Century’s most prominent Canadian venues: Century Casino & Hotel Edmonton, Century Casino St. Albert, Century Mile Racetrack and Casino (all situated in Alberta), and Century Downs Racetrack and Casino located in Calgary.
This calculated maneuver follows closely on the heels of Century Gaming’s procurement of The Nugget Casino Resort’s operations in Nevada just the previous month. It’s evident that Century has its sights set on expansion, and they view these Canadian assets as pivotal to that objective.
Erwin Haitzmann and Peter Hoetzinger, Co-CEOs of Century Gaming, conveyed enthusiasm regarding the agreement, emphasizing how it liberates the value inherent in their Canadian holdings while affording them enhanced financial adaptability for prospective development. They intend to allocate the proceeds from the sale towards enhancements at The Nugget and for general corporate endeavors.
VICI will integrate Century’s Canadian holdings into its primary lease contract, contingent upon the transaction’s successful completion.
Should it be finalized, the primary lease will encompass a period of 15 years and increase rental payments by $17.3 million in Canadian currency.
“We are exploring the utilization of a portion of the proceeds to settle outstanding debt and potentially distribute capital back to stakeholders through share repurchases or a one-time dividend payment. We remain committed to assessing strategies for optimizing our capital framework,” Haitzmann and Hoetzinger further remarked.