Nevada Gold & Casinos, Inc. (NYSE Amex:UWN) announced on May 24, 2010 that the bankruptcy court bidding process for the acquisition of up to seven mini-casinos in Washington was completed on May 21st. No other qualified bidders filed proposals with the Court.
"We are very pleased that the bidding process is complete and we are looking forward to the sale hearing. We are currently in the process of acquiring the gaming and liquor board licenses for these properties and hope to close the deal on most of the casinos within 30-60 days," said Robert Sturges, CEO of Nevada Gold.
"We expect that we will be acquiring these mini-casinos at an effective EBITDA multiple of between three and four times and believe that we will be able to significantly leverage our existing Washington infrastructure to seamlessly integrate these new acquisitions. The recent trends for our existing three mini-casinos in Washington have performed above our expectations for calendar year 2010 to date. We expect to put the know-how and experience we have gained so far in Washington to good use in theoperation of the Evergreen mini-casinos," Mr. Sturges concluded.
The casinos are currently owned by subsidiaries of Evergreen Gaming Corporation ("Evergreen"), a British Columbia corporation, which is under bankruptcy court protection due to a burdensome debt structure. The transaction will be financed by cash on hand as well as a $5.1 million note issued to Evergreen's current senior lender.
The seven casinos are The Silver Dollar Seatac, The Silver Dollar Renton, The Silver Dollar Mill Creek, The Silver Dollar Tukwila, Club Hollywood, located in Shoreline, the Royal Casino located in Everett and The Golden Nugget Casino located in Tukwila.All of the casinos are located in western Washington. Combined, the seven facilities have a total of approximately 100 table games including blackjack, Spanish 21 and other popular banked table games.
Closing of the acquisition is subject to other customary closing conditions, including licensing, necessary lease transfers and final bankruptcy court approval, among other conditions.
About Nevada Gold
Nevada Gold & Casinos, Inc. (NYSE Amex:UWN) of Houston, Texas is a developer, owner and operator of gaming facilities in Colorado and Washington. The Colorado Grande Casino in Cripple Creek, Colorado, the Crazy Moose Casino in Pasco, Washington, the Coyote Bob's Roadhouse Casino in Kennewick, Washington and the Crazy Moose Casino in Mountlake Terrace, Washington are wholly owned and operated by Nevada Gold. The Company has an interest in Buena Vista Development Company, LLC which is working with the Buena Vista Rancheria of Me-Wuk Indians on a Native American casino project to be developed in the city of Ione, California. For more information, visit www.nevadagold.com.
The Nevada Gold & Casinos, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=1552
Forward-Looking Statements
This release contains forward-looking statements, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. We use words such as "anticipate," "believe," "expect," "future," "intend," "plan," and similar expressions to identify forward-looking statements. Forward-looking statements include, without limitation, our ability to increase income streams, to grow revenue and earnings, and to obtain additional Indian gaming and other projects. These statements are only predictions and are subject to certain risks, uncertainties and assumptions, which are identified and described in the Company's public filings with the Securities and Exchange Commission.
As of July 26th 2010
Nevada Gold & Casinos, Inc. announced that it has completed its previously announced acquisition of six mini-casinos in Washington. The casinos are The Silver Dollar Seatac, The Silver Dollar Renton, The Silver Dollar Mill Creek, Club Hollywood, located in Shoreline, the Royal Casino located in Everett and The Golden Nugget Casino located in Tukwila. Nevada Gold also announced that it has decided not to pursue the acquisition of the Silver Dollar Tukwila to which, due to consistent losses, only $1.00 of the total purchase price had been allocated in the Asset Purchase Agreement.
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