Pinnacle Ent (PNK) to Sell Boomtown Reno Casino in $26M Deal
Tweet
Share
E-mailGet Alerts PNK Hot Sheet
Join SI Premium – FREE
Pinnacle Entertainment, Inc. (NYSE: PNK) entered into definitive agreements to sell its Boomtown Reno casino-resort operations and land adjacent to the facility in two separate transactions. Total proceeds from the transactions are expected to be approximately $22.2 million, with the potential for an additional $3.8 million if an option granted to the casino-resort buyer is exercised.
In the casino-resort transaction, the Company entered into a definitive agreement to sell Boomtown Casino and Hotel Reno and related operations to M1 Gaming Reno, LLC and SJP Reno Property, LLC for total cash consideration of approximately $12.9 million. In addition, the Company granted the buyers a one year option to purchase 100% of the Company's membership interest in the current gaming licensee, PNK (Reno), LLC and additional land adjacent to Boomtown Reno for $3.8 million. This transaction is subject to regulatory approval and is expected to close by mid-2012. The Company classified the Boomtown Reno segment as a discontinued operation effective in the third quarter of 2011.
In the casino-resort transaction, the Company entered into a definitive agreement to sell Boomtown Casino and Hotel Reno and related operations to M1 Gaming Reno, LLC and SJP Reno Property, LLC for total cash consideration of approximately $12.9 million. In addition, the Company granted the buyers a one year option to purchase 100% of the Company's membership interest in the current gaming licensee, PNK (Reno), LLC and additional land adjacent to Boomtown Reno for $3.8 million. This transaction is subject to regulatory approval and is expected to close by mid-2012. The Company classified the Boomtown Reno segment as a discontinued operation effective in the third quarter of 2011.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Notrstrom forms special committee as owners mull taking company private
- Community Health Systems (CYH) to Sell Cleveland, Tennessee, Hospital to Hamilton Health Care System
- Canopy Growth (CGC) Announces CBI Conversion to Exchangeable Shares, Appoints New Board
Create E-mail Alert Related Categories
Corporate News, Mergers and AcquisitionsSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
