Louisiana Gaming Control Board Approves Acquisition of Ameristar Casinos by Pinnacle Entertainment
Pinnacle Entertainment (NYSE:PNK) announced today that the Louisiana Gaming Control Board unanimously approved the Company's proposed acquisition of Ameristar Casinos, Inc. and the transfer of interest in the Ameristar Casino Lake Charles development project. Completion of the transaction remains subject to the receipt of additional required regulatory approvals and customary closing conditions.
Anthony Sanfilippo, Chief Executive Officer of Pinnacle Entertainment, commented, "We thank the Louisiana Gaming Control Board for its diligence in reviewing and approving our proposed acquisition of Ameristar Casinos and for permitting the transfer of interests in the Ameristar Casino Lake Charles development project. This clearance represents one of the last two remaining state regulatory agency approvals needed to complete the acquisition, while also paving the regulatory path necessary for us to ultimately divest Ameristar's Lake Charles development project and address the Federal Trade Commission's anti-trust concerns in that market. Consideration of the acquisition and related matters will be on the agenda at next week's Missouri Gaming Commission meeting, and if approval is obtained, we will have the last remaining state regulatory agency clearance in hand.
"Since reaching an agreement in principle on proposed divestiture remedies with the FTC's Bureau of Competition staff in June, we have made significant progress in negotiating a formal consent order. We anticipate a consent order that details the terms and conditions of the required divestitures in Lake Charles and St. Louis to be approved by the FTC in early August.Subject to receiving Missouri Gaming Commission approval, finalizing the consent order with the FTC and other customary closing conditions, we expect to complete the transaction in August 2013," Mr. Sanfilippo concluded.
About Pinnacle Entertainment
Pinnacle Entertainment, Inc. owns and operates seven casinos, located in Louisiana, Missouri, and Indiana, and a racetrack in Ohio. In addition, Pinnacle is redeveloping River Downs in Cincinnati, Ohio into a gaming entertainment facility, owns a minority interest in Asian Coast Development (Canada) Ltd., an international development and real estate company currently developing Vietnam's first large-scale integrated resort on the Ho Tram Strip, and holds a majority interest in the racing license owner, as well as a management contract, for Retama Park Racetrack outside of San Antonio, Texas.
On December 20, 2012, Pinnacle agreed to acquire Ameristar Casinos, Inc. in an all cash transaction valued at $26.50 per Ameristar share or total consideration of $2.8 billion including assumed debt. Ameristar owns and operates casino facilities in St. Charles near St. Louis, Mo.; Kansas City, Mo.; Council Bluffs, Iowa; Black Hawk, Colo.; Vicksburg, Miss.; East Chicago, Ind.; and the Jackpot properties in Jackpot, Nev.