Concorde Gaming Acquires Colorado Real Estate; Completes Long Term Financing.Business Editors RAPID CITY, S.D.--(BUSINESS WIRE)--Aug. 1, 2002 Concorde Gaming Corporation (Pink Sheets:CGAM CGAM Centre for Global Atmospheric Modelling (UK) CGAM Computer Generated Images for Advertising & Marketing (conference) ) announced it has completed the acquisition of the Golden Gates Casino in Black Hawk, Colorado For other uses of Blackhawk/Black Hawk, see Black Hawk. The historic City of Black Hawk is a Home Rule Municipality in Gilpin County, Colorado, United States. The city population was 118 at U.S. Census 2000, making Black Hawk the least populous city in Colorado. . In connection with this transaction, the Company closed a $7.6 million long term debt financing Debt Financing When a firm raises money for working capital or capital expenditures by selling bonds, bills, or notes to individual and/or institutional investors. In return for lending the money, the individuals or institutions become creditors and receive a promise to repay , a portion of the proceeds of which were used to acquire the Casino, including the purchase of the Golden Gates Casino building and a unit (consisting of 40 spaces) in the parking garage attached to the Casino. "This transaction and related debt financing allowed us to acquire the Golden Gates Casino and a partial interest in the attached parking garage," commented Jerry Baum, President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of Concorde Gaming Corporation. The Company's wholly owned subsidiary Wholly Owned Subsidiary A subsidiary whose parent company owns 100% of its common stock. Notes: In other words, the parent company owns the company outright and there are no minority owners. , Concorde Cripple Creek Cripple Creek, village (1990 pop. 584), alt. 9,375 ft (2,858 m), seat of Teller co., central Colo.; inc. 1892. Primarily a summer resort, it was once a gold-mining boomtown. , had previously leased the Golden Gates Casino under a long-term lease with an unrelated third party. Jerry Baum went on to state that "the ownership of the Golden Gates Casino strengthens our competitive position in the growing gaming market of Black Hawk Black Hawk (born 1767, Sauk Sautenuk, Va.—died Oct. 3, 1838, village on the Des Moines River, Iowa, U.S.) Sauk Indian leader. Long antagonistic to whites, Black Hawk was driven into Iowa from Illinois in 1831. Colorado, allowing us to control and implement our long-term growth plans for this market." The balance of the debt financing will primarily be used to complete a renovation and expansion of the Golden Gates Casino. "We expect the renovation and expansion to be completed in early 2003 and to result in a 10% increase in the Casino's gaming devices through the addition of approximately 30 slot machines," commented Jerry Baum. "Such renovations and improvement likely would not have occurred absent our ownership of the Casino." Miller Johnson Steichen Kinnard, an investment bank located in Minneapolis, Minnesota “Minneapolis” redirects here. For other uses, see Minneapolis (disambiguation). Minneapolis (pronounced IPA: /ˌmɪniˈæpəlɪs/) is the largest city in the U.S. served as the Company's placement agent for the debt financing and First National Bank of Rapid City, South Dakota Rapid City is a city located in the western part of South Dakota and is the second largest city in the state of South Dakota after Sioux Falls. Set against the eastern slope of the Black Hills, Rapid City is in the county of PenningtonGR6 USA. served as the lead bank. Concorde Gaming Corporation owns and operates two gaming properties with over 500 gaming devices in operation. The Company operates a limited stakes gaming property, the Golden Gates Casino in Black Hawk, Colorado, and a day-cruise gaming property, the Casino Princesa based out of Miami, Florida. The Company's corporate offices are located in Rapid City, South Dakota. Statements contained in this press release, which are not historical facts, are forward-looking statements, as that term is defined in the Private Securities reform Act of 1995. Such forward-looking statements are subject to risks and uncertainties which can cause actual results to differ materially from those currently anticipated, due to a number of factors, which include, but are not limited to, changes in gaming regulations and tax rates in Colorado, Florida, and other jurisdictions, the level and rate of growth in the Company's operations, the company's ability to continue to increase customer traffic to its properties, the timely completion of the improvements to the Golden Gates Casino property, the Company's ability to continue to impose strong cost controls and the effect of the Company's accounting policies and other risks factors discussed in documents filed by the Company with the Securities and Exchange Commission from time to time. |
|
||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion