USA: Penn National Gaming buy Pinnacle Entertainment
Penn National Gaming will by “mid-October” close the $2.8 million deal of acquiring Pinnacle Entertainment. This comes after all regulators approved the merger deal.
In a press release, Penn National Gaming said the Nevada Gaming Commission and Nevada Gaming Control Board, alongside another 13 states have given their approval for the acquisition.
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The last to approve this deal is the Federal Trade Commission (FTC).
Shareholders of Penn and Pinnacle voted 99% in favour of the merger deal on March 29.
With this acquisition, shareholders of Pinnacle will receive $20 per share alongside 0.420 shares of Penn National per Pinnacle share.
“We are grateful to the Nevada Gaming Commission and Nevada Gaming Control Board for their thorough and diligent review of the applications and filings related to our pending transaction with Pinnacle Entertainment,” Penn CEO Timothy Wilmott said.
“With these approvals in hand, we look forward to the upcoming closing of the transaction in mid-October and officially welcoming Pinnacle Entertainment’s team members to the Penn National family.”
According to the deal, Pinnacle is to sell four of its properties to Boyd Gaming Corps for $525 million, while Penn would absorb the remaining 12 properties. This move is to curb any anti-trust violations.
Penn, on the other hand, would have to sell its real estate assets Plainridge Park and Belterra Park to Gaming and Leisure Properties, Inc. (GLPI) for $315 million.
After the completion of the deal, Penn will operate 41 gaming facilities with 1,300 gaming tables, 53,000 slot machines, and 8,300 hotel rooms. They will also employ about 35,000 people.