LAS VEGAS--(BUSINESS WIRE)--Golden Entertainment, Inc. (NASDAQ:GDEN) (“Golden” or the “Company”) today announced it has completed its previously announced deal to acquire its second distributed gaming business in Montana. The acquisition included substantially all of the assets of Amusement Services, LLC (“Amusement Services”), including approximately 1,800 gaming devices located in nearly 180 retail locations across the state, including five Native American properties with contracts that comprise approximately 350 gaming devices.
“We have tremendous momentum right now, and are beginning to demonstrate our scale and mobility as we now become the second largest distributed gaming operator in Montana,” said Blake L. Sartini, II, Senior Vice President of Distributed Gaming at Golden. “The acquisition of such an incredibly talented team, combined with our previous acquisition, will immediately establish Golden with a large and growing footprint in Montana, enabling us to provide our market-leading product and service.”
Management expects the acquisition to be immediately accretive to the Company’s earnings per share. Post-acquisition, Golden now operates nearly 3,000 gaming devices in Montana across approximately 300 locations, securing its spot as the second largest distributed gaming operator in the state. Additionally, Golden remains the largest distributed gaming operator in Nevada and will operate more than 12,000 gaming devices in total, making it one of the largest distributed gaming operators in the country.
Tim Carson, Co-Founder and President of Amusement Services, has joined Golden as the Vice President of Montana Operations, helping to ensure an effective management transition and operational continuity. The Company funded the approximately $25 million acquisition through available borrowings under its revolving credit facility.
This press release may be deemed to contain forward-looking statements regarding future events and our future results that are subject to the safe harbors created under the Securities Act of 1933 and the Securities Exchange Act of 1934. Forward-looking statements can generally be identified by the use of words such as “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “forecast,” “intend,” “plan,” “project,” “seek,” “should,” “think,” “will,” “would” and similar expressions. In addition, forward-looking statements include statements regarding the Company’s strategies, objectives, business opportunities and plans for future expansion, developments or acquisitions, anticipated future growth and trends in the Company’s business or key markets, projections of future financial condition, operating results, income, capital expenditures, costs or other financial items (including earnings per share accretion), anticipated regulatory and legislative changes, the Company’s ability to utilize its net operating loss carryforwards (“NOLs”) to offset future taxable income, the timing and amount of distributions to the Company’s shareholders of the net proceeds from the sale of the subordinated promissory note from the Jamul Indian Village, as well as other statements that are not statements of historical fact. Forward-looking statements are based on the Company’s current expectations and assumptions regarding the Company’s business, the economy and other future conditions. These forward-looking statements are subject to assumptions, risks and uncertainties that may change at any time, and readers are therefore cautioned that actual results could differ materially from those expressed in any forward-looking statements. Factors that could cause actual results to differ include: the parties’ ability to satisfy the closing conditions to the pending acquisition of distributed gaming assets, the Company’s ability to realize the anticipated cost savings, synergies and other benefits of the merger of a wholly owned subsidiary of the Company with and into Sartini Gaming and the acquisitions of distributed gaming assets in Montana, and integration risks relating to such transactions, changes in national, regional and local economic and market conditions, legislative and regulatory matters (including the cost of compliance or failure to comply with applicable laws and regulations), increases in gaming taxes and fees in the jurisdictions in which the Company operates, litigation, increased competition, the Company’s ability to renew its distributed gaming contracts, reliance on key personnel (including our Chief Executive Officer, Chief Operating Officer and Chief Financial Officer), the level of the Company’s indebtedness and the Company’s ability to comply with covenants in its debt facilities, terrorist incidents, natural disasters, severe weather conditions, the effects of environmental and structural building conditions, the effects of disruptions to the Company’s information technology and other systems and infrastructure, the occurrence of an “ownership change” as defined in Section 382 of the Internal Revenue Code, and factors affecting the gaming, entertainment and hospitality industries generally. In addition, please refer to the risk factors contained in the Company’s SEC filings available at www.sec.gov, including the Company’s most recent Annual Report on Form 10-K. Readers are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date of this press release. The Company undertakes no obligation to revise or update any forward-looking statements for any reason.
About Golden Entertainment, Inc.
Golden Entertainment, Inc. owns and operates gaming properties across two divisions – distributed gaming and resort and casino operations. Golden Entertainment operates more than 12,000 gaming devices and over 30 table games in Nevada, Maryland and Montana. The Company owns four casino properties, 50 taverns and operates approximately 980 distributed gaming locations in Nevada, Maryland and Montana. Golden Entertainment is focused on maximizing the value of its portfolio by leveraging its scale, leadership position, and proven management capabilities across its two divisions. For more information, visit www.goldenent.com.