Nevada Gold & Casinos on December 1 completed the previously announced purchase of Club Fortune Casino in Henderson for .1 million cash and 1.2 million common shares, plus a working capital adjustment.
“The addition of Club Fortune to our portfolio is consistent with our strategy to enhance shareholder value by pursuing strategically attractive acquisitions,” Nevada Gold President and CEO Michael P. Shaunnessy said. “The transaction is immediately accretive to our free cash flow and strengthens and diversifies our portfolio.”
With the addition of Club Fortune, the pro forma leverage ratio is under three times EBITDA. The initial borrowing rate on the credit facility is LIBOR plus a margin of 4 percent.
Club Fortune Casino includes a 35,000 square foot building and eight acres of land. The casino features approximately 25,000 square feet and includes 541 slot machines, seven table games, a poker room, and a sports book.
The facility also has a restaurant, two bars, an entertainment lounge, snack bar and gift shop.
