ATMORE, Ala., March 9, 2018 /PRNewswire/ -- PCI Gaming Authority d/b/a Wind Creek Hospitality, an instrumentality of the Poarch Band of Creek Indians (the "Tribe"), announced today that it has entered into a definitive agreement under which Wind Creek Hospitality will acquire the Sands Casino Resort in Bethlehem, Pennsylvania, for a total enterprise value of $1.3 billion. The closing of the transaction is subject to regulatory review and other customary closing conditions.
Wind Creek Hospitality currently owns and operates nine gaming and entertainment facilities located in six jurisdictions across the United States and the Caribbean, including three leading casino resorts located on the Tribe's reservation lands in Alabama.
The Sands Casino Resort Bethlehem, which will be integrated into the Wind Creek Hospitality portfolio, represents a best-in-class, Las Vegas-style resort, located in the heart of the Lehigh Valley of Pennsylvania, approximately 80 miles from New York City. Amenities include a 282-room AAA four diamond hotel, a 183,000 square foot casino floor featuring 3,000 slots and electronic table games, 200 table games, numerous food and beverage outlets, a 150,000 square foot retail mall, and a multi-purpose event center.
The acquisition provides a significant opportunity to diversify its holdings and offer its Wind Creek Rewards program and its online Wind Creek Casino to millions of new customers throughout the northeast. Travel perks offered by the Wind Creek Rewards program to two of the most alluring resorts in the Caribbean, Renaissance Aruba Resort and Casino and Renaissance Curacao Resort and Casino, both owned by Wind Creek Hospitality, are expected to be particularly appealing escapes for Wind Creek Bethlehem customers during the cold winter months.
Further communications from Wind Creek Hospitality about this transaction will be limited until it has had the opportunity to meet with the Pennsylvania Gaming Control Board, other regulatory agencies, its new Bethlehem Team Members, and community leaders and future partners.
Wind Creek Hospitality expects to fund the acquisition with a combination of existing cash on its balance sheet and new debt financing. Credit Suisse has provided committed financing for the proposed transaction. Wind Creek Hospitality anticipates that the additional cash flow resulting from the acquisition will allow it to pay down debt on an accelerated basis after closing.
Approvals and Timing
The transaction is subject to approval of applicable gaming authorities, the expiration or termination of the applicable waiting period under the Hart-Scott-Rodino Act and other customary closing conditions. The companies expect the transaction to close later in 2018 or early 2019.
Innovation Capital, LLC is exclusive financial advisor and Cooper Levenson P.A. is legal counsel to Wind Creek Hospitality in connection with the transaction.
About Wind Creek Hospitality
Wind Creek Hospitality is an authority of the Poarch Band of Creek Indians. Wind Creek Hospitality manages the Tribe's gaming facilities including: Wind Creek Atmore, Wind Creek Wetumpka, Wind Creek Montgomery, Wa She Shu Casino in Nevada, Renaissance Aruba Resort & Casino, Renaissance Curacao Resort & Casino as well as racetracks in Alabama and Florida. For more information, visit: https://windcreekhospitality.com/.
About the Poarch Band of Creek Indians
The Poarch Band of Creek Indians is the only federally recognized Indian Tribe in the state of Alabama, operating as a sovereign nation with its own system of government and bylaws. The Tribe operates a variety of economic enterprises, which employ thousands of area residents. For more information, visit: www.pci-nsn.gov.
Forward Looking Statements
This press release contains forward-looking statements that are made pursuant to the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve a number of risks, uncertainties or other factors beyond the company's control, which may cause material differences in actual results, performance or other expectations. These factors include, but are not limited to, the uncertainty of whether the necessary regulatory approvals will be granted on a timely basis, if at all, and whether the sale will occur, delays in, or failures in respect of, anticipated satisfaction of closing conditions, ability of the buyer to secure the financing, whether the cash proceeds will be used as anticipated, and other factors. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date thereof. Wind Creek Hospitality assumes no obligation to update such information.
SOURCE Wind Creek Hospitality