Eldorado Resorts, Inc. has announced it will buy 50% of the Silver Legacy Resort Casino, as well as all of the Circus Circus Reno assets currently owned by MGM Resorts International.
Gary Carano, Chairman and Chief Executive Officer of Eldorado says the $72.5 million deal increases its property portfolio in Northern Nevada.
“The acquisition of these well-established properties represents a significant growth and expansion opportunity for Eldorado and is consistent with our strategy to enhance shareholder value by structuring transactions that are strategically and economically attractive. The acquisition is expected to be accretive to our operating results upon closing, builds the critical mass of our gaming operations and fortifies our position in the increasingly attractive Reno gaming market.”
"We greatly appreciate the hard work and dedication of our employees at Circus Circus Reno and Silver Legacy," said Dan D'Arrigo, Executive Vice President, Chief Financial Officer and Treasurer of MGM Resorts. "MGM Resorts has enjoyed a long-standing relationship with the Carano family, who share many of the same core values as MGM. We believe that joining the Eldorado family will provide our employees with significant opportunities to grow and prosper."
Eldorado and its affiliates already own the other 50% interest in the Silver Legacy.
The transaction is subject to regulatory approval and other customary closing conditions. The transaction is expected to be completed by year-end 2015.
