Key Developments: Pinnacle Entertainment Inc (PNK)
19.79USD
18 Jun 2013
$0.15 (+0.76%)
$19.64
$19.71
$19.87
$19.60
448,914
930,228
$21.19
$8.89
Latest Key Developments (Source: Significant Developments)
FTC Challenges Pinnacle Entertainment Inc Deal for Ameristar Casinos-WSJ
The Wall Street Journal reported that The Federal Trade Commission challenged Pinnacle Entertainment Inc.'s proposed acquisition of Ameristar Casinos Inc., alleging the deal would be anticompetitive. The FTC, which filed an administrative complaint against the casino deal, said the merger would harm customers in Missouri and Louisiana. The commission said it was authorizing its staff to seek a temporary restraining order and preliminary injunction to block consummation of the deal while the FTC proceeded with its legal challenge. Full Article
Pinnacle Entertainment Inc Approves Acquisition Of Ameristar Casinos
Pinnacle Entertainment Inc announced that the Nevada Gaming Commission unanimously approved the Company's proposed acquisition of Ameristar Casinos. Completion of the transaction remains subject to the expiration or termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, customary closing conditions and receipt of required regulatory approvals. Terms of the transaction were not disclosed. Full Article
Pinnacle Entertainment Inc Completes Acquisition of Retama Park Racetrack in Texas
Pinnacle Entertainment Inc announced the closing of the previously disclosed acquisition of a majority interest in the owner of the racing license for Retama Park Racetrack, Pinnacle Retama Partners, LLC (PRP). Retama Park Racetrack is a class 1 pari-mutuel horse-racing track directly off of Interstate 35 in Selma, Texas, located approximately 20 miles northeast of downtown San Antonio. At closing, the Company paid cash consideration of $15 million to acquire a 75.5% equity interest in PRP. PRP will use the proceeds of the transaction primarily to refinance the existing indebtedness of Retama Development Corporation (RDC). In addition, the Company entered into a management contract with RDC to manage the day-to-day operations of Retama Park. In conjunction with the closing, RDC repaid approximately $3.3 million of loans owned by the Company that were used to maintain continuity in the operations of Retama Park Racetrack. Full Article
Pinnacle Entertainment Inc To Acquire Ameristar Casinos Inc-Reuters
Reuters reported that Pinnacle Entertainment Inc will acquire Ameristar Casinos Inc for about $869 million to expand mainly in the U.S. Midwest and South, sending Pinnacle's shares to their highest in more than three years. Pinnacle said it would pay $26.50 per share in cash, representing a premium of 20% over Ameristar Casinos' closing price. The total deal value is $2.8 billion, including debt of $1.9 billion and cash on hand of $116 million. Goldman Sachs & Co advised Pinnacle, while Ameristar was advised by Lazard and Centerview Partners LLC. Full Article
Pinnacle Entertainment Inc Announces Closing Of Disposition Of Boomtown Reno
Pinnacle Entertainment Inc announced the closing of the previously announced disposition of its Boomtown Reno casino-resort operations to M1 Gaming Reno, LLC and SJP Reno Property, LLC for total proceeds of approximately $12.9 million. At closing, the casino-resort buyers were granted a one year option to purchase 100% of the Company's membership interest in PNK (Reno), LLC, including 27 acres of additional land adjacent to Boomtown Reno, for incremental consideration of $3.8 million. In addition, Pinnacle Entertainment continues to hold approximately 780 acres of remaining excess land surrounding Boomtown Reno as a discontinued operation. Full Article
Pinnacle Entertainment Inc Acquires Federated Sports & Gaming, Inc. and Federated Heartland, Inc.
Pinnacle Entertainment Inc announced that the Company has entered into agreements to acquire substantially all of the assets of Federated Sports & Gaming, Inc. and Federated Heartland, Inc. These entities own the Heartland Poker Tour and other related assets and intellectual property. The Heartland Poker Tour is a live and televised poker tournament series that made 17 stops across 15 U.S. states in 2011. Pinnacle Entertainment's River City and Lumiere Place casinos in St. Louis, Missouri hosted Heartland Poker Tour events in March 2012. Financial terms of the transaction were not disclosed. Full Article
Pinnacle Entertainment, Inc.'s Subsidiary Enters Agreements To Acquire Majority Interest In Retama Park Racetrack In Texas
Pinnacle Entertainment, Inc. announced that a wholly-owned subsidiary of the Company has entered into agreements to execute a series of transactions that would result in the Company securing a 75.5% equity stake in Retama Partners, Ltd. (RPL), the owner of the racing license for Retama Park Racetrack. Located approximately 20 miles northeast of downtown San Antonio, Texas, Retama Park is a class one pari-mutuel horse-racing track directly off of Interstate 35 in Selma, Texas. Under the terms of the agreements, the Company will pay $22.8 million to acquire the 75.5% stake in RPL, comprising a purchase of debt securities and other interests related to Retama Park for $7.8 million and cash consideration of $15.0 million that will be used primarily to refinance Retama Development Corporation's (RDC) existing indebtedness and to provide working capital. The initial purchase of debt securities and other interests related to Retama Park are expected to close immediately. The subsequent transactions are subject to the receipt of all applicable regulatory approvals and additional agreements with RDC, with closing expected by the end of 2012. In order to maintain continuity in the operation of Retama Park, the Company intends to provide bridge loans of up to $2.6 million to RDC in the near term, which are to be repaid upon closing of the Company's 75.5% stake purchase with the cash consideration contributed in that transaction. Full Article
Pinnacle Entertainment, Inc. Announces Closes Issuance Of $325 Million Of New 7.75% Senior Subordinated Notes Due 2022 And Incurrence Of $325 Million Incremental Term Loan
Pinnacle Entertainment, Inc. announced that it has closed the previously announced public offering of $325 million in aggregate principal amount of 7.75% senior subordinated notes due 2022. The notes were issued at par. The Company also announced that it has closed a $325 million incremental term loan under its current credit facility. The term loan was issued at a price of 99.0% with an interest rate of 300 basis points over LIBOR and a 1.0% LIBOR floor. The term loan will mature in March 2019, provided that such date will be accelerated to December 15, 2014 if any portion of the Company's 7.5% senior subordinated notes due 2015 are outstanding on December 15, 2014, and May 1, 2017 if any portion of the Company's 8.625% senior notes due 2017 are outstanding on May 1, 2017. The Company will use all of the net proceeds of the notes offering and a portion of the net proceeds from the term loan to redeem all $385 million in aggregate principal amount of its existing 7.5% senior subordinated notes due 2015 and to repay all $70.0 million in outstanding revolving credit borrowings under its credit facility. The Company will use the remaining net proceeds of the term loan to continue development of the projects in its growth pipeline and for general corporate purposes. Full Article
Pinnacle Entertainment, Inc. Announces Commitments For $325 Million Incremental Term Loan
Pinnacle Entertainment, Inc announced that it has received commitments from a syndicate of lenders for a $325 million incremental term loan under its current credit facility. The term loan will be issued at a price of 99.0% with an interest rate of 300 basis points over LIBOR and a 1.0% LIBOR floor. Pinnacle was originally seeking commitments for a $250 million incremental term loan under its current credit facility. The term loan is expected to mature in March 2019, provided that such date will be accelerated to December 15, 2014, if any portion of the Company's 7.5% senior subordinated notes due 2015 are outstanding on December 15, 2014, and May 1, 2017, if any portion of the Company's 8.625% senior notes due 2017 are outstanding on May 1, 2017. The Company intends to use a portion of the net proceeds of the term loan to redeem a portion of its 7.5% senior subordinated notes due 2015 at a redemption price equal to 103.75% of par, plus accrued and unpaid interest. The Company also intends to use a portion of the net proceeds of the term loan to repay all revolving credit borrowings outstanding under its credit facility. Additional net proceeds of the term loan will be used to continue development at the company's L'Auberge Casino & Hotel in Baton Rouge and its River City Casino in St. Louis, for possible future development at its River Downs racetrack in Cincinnati and for general corporate purposes. Full Article
Pinnacle Entertainment, Inc. Announces Pricing Of $325 Million In Aggregate Amount Of 7.75% Senior Subordinated Notes Due 2022
Pinnacle Entertainment, Inc. announced that it has priced a public offering of $325 million aggregate principal amount of senior subordinated notes due 2022. The notes will be issued at a price equal to par. The closing of the note offering is conditioned on the prior or simultaneous closing of the term loan offering announced by the Company today. The Company intends to use the net proceeds of this offering and the term loan to redeem our 7.5% senior subordinated notes due 2015 at a redemption price equal to 103.750% of par, plus accrued and unpaid interest. The Company intends to send a 15-day conditional redemption notice to the holders of such notes and terminate the tender offer for such notes. The redemption is conditioned upon the closing and receipt of sufficient net proceeds from the offering and term loan to redeem the notes. The Company intends to use a portion of the net proceeds of the term loan to repay all revolving credit borrowings outstanding under its credit facility. The Company expects to redraw revolver borrowings to fund its development projects as construction proceeds. The Company also expects to use the remaining net proceeds from the offering, if any, for general corporate purposes, including funding its development projects such as L'Auberge Baton Rouge. Full Article
FTC challenges Pinnacle's bid to buy Ameristar
WASHINGTON - The Federal Trade Commission said on Wednesday it filed a complaint aimed at stopping casino operator Pinnacle Entertainment Inc from buying rival Ameristar Casinos Inc because the merger would reduce competition and lead to higher prices for customers in St. Louis and Lake Charles, Louisiana.
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