Full House Resorts made the announcement that they have obtained the financing commitments that they need for the new credit facilities that total over $75 million
Full House Resorts made the announcement that they have obtained the financing commitments that they need for the new credit facilities that total over $75 million which is going to be used to fund the Company’s acquisition of the new Silver Slipper Casino in Hancock County, Mississippi. The financing is going to consist and include a $55 million first lien credit facility and a $20 million second lien facility. The administrative agent for the first lien facility is going to be Capital One N.A. and the Summit Partners Credit Advisors L.P. are going to be the agents for the second following lien. The expected average cash interest for the cost of the facilities is going to be around 8 percent. The funding of the new credit facilities is then subject to documentation and the other customary conditions that go along with it.
The Company, in March was able to bring in $2.5 million in escrow deposits in connection with the pending acquisition of their new Silver Slipper Casino. This deposit that they made was non refundable except in certain customary conditions. The company is now being advised and prepared on the acquisition and financing by Macquarie Capital. "We are pleased that we were able to quickly obtain financing commitments for this acquisition at an attractive overall blended rate, which is a testament to our management team, strong cash flow and balance sheet," said Andre M. Hilliou, Chairman and Chief Executive Officer of Full House Resorts. "We have already commenced the licensing process in Mississippi, and we expect to close on the acquisition in the third quarter of this year."
The Silver Slipper Casino which was opened in 2006, boasts 37,000 square feet of gaming space which includes 26 table games, over 1,000 video poker and slot machines, a poker room and even a live Keno game. The property comes complete with a buffet, a fine dining restaurant, two casino bars, and even a quick service restaurant. The property is able to draw heavily from the metropolitan area of New Orleans and other communities in the southern portion of Louisiana and the southwestern portion of Mississippi. They also own many other casinos and resorts throughout the United States and the United Kingdom. This is the casino and resort that needs the most upgrades in order to function properly. When the time comes for the other casinos and resorts to get a make over, they will once again try to get the funding that is needed for each of the projects.