Printer Friendly

DION ENTERTAINMENT ANNOUNCES MAJOR BINGO ACQUISITION

 CALGARY, May 21 /PRNewswire/ -- Dion Entertainment Corp. announced today that it has entered into an agreement to acquire five bingo halls in British Columbia. Upon closing of the transaction which is subject to B.C. Gaming Commission and other regulatory approvals, the company will operate a total of 23 bingo halls of which 21 will be located in Canada. Dion is already the largest operator of bingo halls in western Canada.
 For the year ended Feb. 28, 1993, the five bingo halls reported unaudited revenue of approximately $4 million and pretax cash flow of approximately $1.2 million. Dion reported revenue for the year ended Dec. 31, 1992, of approximately $10.6 million.
 The five halls are currently held by Pacific Fundraising Ltd. of Surrey, B.C. and related parties. The purchase price of $3.5 million consists of $2,450,000 cash, $525,000 in vendor take-back financing and 81,000 common shares of the company.
 The company is proceeding forthwith to obtain the approvals of the B.C. Gaming Commission and other regulatory authorities. There can be no guarantee of success until the applications for such approval have been heard and determined.
 E. Marshall Pollock, Q.C., president and CEO of Dion commented: "This acquisition will reinforce the company's leadership position as one of the largest operators of bingo halls in western Canada. It also represents a key element of our growth strategy which calls for increased cash flow through bingo hall acquisitions while continuing to commit significant financial resources to emerging gaming markets, namely gaming equipment distribution, casino management and Indian gaming."
 Dion is the first Canadian publicly traded gaming company and is one of the largest providers of facilities for the operation of commercial bingo halls in Canada. Dion operates bingo halls in Saskatchewan, Alberta, and the Czech Republic. Dion is also the exclusive distributor in Canada of all gaming equipment manufactured by Bally Gaming, Inc. of Las Vegas, Nev., a wholly owned subsidiary of Bally Gaming International, Inc. (NASDAQ: BGII).
 More recently, Dion entered into an agreement with Showboat Development, Inc., a wholly owned subsidiary of Showboat, Inc. (NYSE: SBO) to submit a bid to build and operate a major casino and hotel facility in Windsor, Canada.
 Dion is a public company listed on the Toronto Stock Exchange under the symbol DIO.
 -0- 5/21/93
 /CONTACT: E. Marshall Pollock, Q.C., president and CEO, 416-398-3996, or Alain Lambert (investors), 514-393-7212, both of Dion Entertainment Corp./


CO: Dion Entertainment Corp. ST: Alberta IN: CNO SU: TNM

CK -- NY021 -- 1135 05/21/93 10:23 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:May 21, 1993
Words:430
Previous Article:ZAPATA REPORTS RESULTS FOR 1993 SECOND QUARTER
Next Article:FOXMEYER ANNOUNCES MANAGEMENT CHANGES
Topics:


Related Articles
DION ENTERTAINMENT CORP. ANNOUNCES ACQUISITION OF INDIAN CASINO MANAGEMENT COMPANY AND $17 MILLION FINANCING
DOUBLE EAGLE COMPLETES FINANCING OF CZECH BINGO-LOTTERY
STUART ENTERTAINMENT ANNOUNCES EXECUTION OF PURCHASE AGREEMENT
AMERICAN BINGO & GAMING CORP. ANNOUNCES THE ACQUISITION OF THREE CHARITY BINGO CENTERS IN FLORIDA
AMERICAN BINGO & GAMING CORP. MAKES ITS FOURTH ACQUISITION IN FLORIDA
PDS FINANCIAL CORPORATION ANNOUNCES AGREEMENT TO SELL EAGLES NEST LOANS
TWO CHARITABLE GAMING GIANTS TO JOIN FORCES; STUART ENTERTAINMENT AGREES TO ACQUIRE TRADE PRODUCTS, INC.
Stuart Entertainment, Inc. Signs Asset Purchase Agreement To Acquire Trade Products
Stuart Entertainment Completes Trade Products Acquisition and Financing Arrangements
Stuart Entertainment Acquires Power Bingo

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters