Affinity Gaming to Refinance present Capital shape
Affinity Gaming (“Affinity” or the “organization”) today introduced plans to refinance its existing capital shape. Upon crowning glory of the transaction, the organization intends to use $300 million in new financing and approximately $90 million in cash on hand to call its $200 million of great 9% senior notes due 2018 and repay its present $180 million secured time period loan. The corporation expects general leverage to decline to four.2x from five.3x pro format for the transaction.
The entire financing package is anticipated to include two credit score centers produced from:
1. A $300 million time period mortgage B Facility; and
2. An redrawn $75 million revolving credit facility.
Walter Bogumil, chief financial Officer of Affinity Gaming, commented, “during the last two years, we’ve got achieved on a strategic plan geared toward extensively enhancing the business enterprise’s operating trajectory and margins. This includes rebuilding our govt group with new management throughout most running departments and executing towards a brand new set of operating principles. Similarly, a great priority for the organization has been to simplify our capital shape and de-lever the enterprise. The anticipated refinancing announced today will satisfy each of these goals with the aid of decreasing gross leverage, materially decreasing interest prices and improving our coins waft profile. We’ve got hooked up a robust financial basis on which Affinity can leverage our different base of eleven local gaming centers to pressure extra operational upgrades and generate improved free coins waft.”
Credit score Suisse, Macquarie Capital and fifth 0.33 Bancorp are serving as Joint Lead Arrangers for the transaction. Credit score Suisse will count on the function of Administrative Agent following the close of the transaction.
Cautionary declaration regarding forward-looking Statements
This press launch might also include ahead-looking statements, which may be diagnosed by way of using phrases such as “anticipates,” “intends,” “plans,” “seeks,” “believes,” “estimates,” “expects,” “projects,” “may also,” “will” or “should” or the poor or different variation of those or similar words, or through discussions of strategy or dangers and uncertainties, and comparable references to destiny periods. Examples of ahead-looking statements on this press launch encompass, but aren’t confined to, statements regarding the organization’s capital structure refinancing, inclusive of the predicted new credit centers and use of proceeds therefrom, plans to name the company’s first rate notes, the terms of the refinancing and the effect of the refinancing at the organization’s financial role and consequences of operations, and expectancies regarding expected upgrades inside the company’s commercial enterprise. Ahead-searching statements aren’t ensures of future overall performance and are problem to giant risks and uncertainties that may motive real consequences or achievements to be materially one of a kind from the future effects or achievements expressed or implied by way of the ahead-looking statements. These risks and uncertainties include, but are not confined to, the ones uncertainties related to the agency’s ability to finish the proposed transactions on predicted phrases and timing (or in any respect); capacity modifications to regional, countrywide or international political, monetary, business, competitive, market and regulatory conditions; dangers and uncertainties referring to fluctuations in the organization’s operating outcomes, consisting of factors affecting company overhead costs, capital fees and the company’s tax rates; and other dangers referring to the company’s capability to put in force its commercial enterprise method and obtain its company goals. Extra dangers are defined within the corporation’s filings with the SEC, which includes its maximum latest Annual report on form 10-okay, which includes underneath “Cautionary declaration regarding forward-looking Statements” and “chance factors,” its Quarterly reports on form 10-Q, and in the organization’s other present day and periodic reviews filed now and again with the SEC. The yearly file on form 10-ok and the Quarterly reports on shape 10-Q may be accessed via the “Investor members of the family” phase of the organization’s internet site at www.affinitygaming.com. All forward-looking statements in this press release are made as of the date hereof, based totally on control’s modern expectations and assumptions approximately the industries wherein the organization operates, and the corporation disclaims any intent or responsibility to replace or revise any ahead-searching statements in reaction to new statistics, unforeseen occasions, changed circumstances or every other prevalence.
Approximately Affinity Gaming
Affinity Gaming is a various on line casino gaming organization centered in Las Vegas, Nevada. The company’s on line casino operations encompass eleven casinos, five of which are positioned in Nevada, three in Colorado, in Missouri and one in Iowa.