Century Casinos, Inc. is adding to hits holdings in Alberta by acquiring the insolvent Silver Dollar casino in Calgary in a $10.6-million deal with its operators, the Colorado-based company said Tuesday.
Century said its Austrian subsidiary, Century Casinos Europe GmbH, had entered into a definitive agreement to acquire 100 per cent of the outstanding common stock of Frank Sisson's Silver Dollar Ltd. and 100 per cent of the outstanding common stock of EGC Properties Ltd.
The total consideration for the casino and related land was put at US$10.6 million, plus or minus a working capital adjustment.
Evergreen Gaming Corp., the company that acquired the Silver Dollar in 2007, filed for protection from creditors under the Companies' Creditors Arrangement Act in Vancouver last April.
The Silver Dollar is an 8,600-square-metre facility on 2.8 hectares of land in Alberta's largest city. The casino has 504 slot machines, 16 table games, 15 video lottery terminals, two restaurants, a lounge, a 465-square-metre showroom, an 1,400-square-metre convention centre and a 38-lane bowling alley.
Century Casinos already owns and operates the Century Casino & Hotel in Edmonton.
“We are excited about expanding in Alberta, Canada, by entering the Calgary gaming market with the addition of the Silver Dollar to Century's portfolio of casino hotels,” CEOs Erwin Haitzmann and Peter Hoetzinger said in a statement.
“Once we have made certain improvements at the property and refined its market position, we believe the Silver Dollar has the potential to substantially contribute to our overall performance.”
The transaction, subject to necessary regulatory and governmental approvals, is expected to close in the first quarter 2010.
Besides its holdings in Alberta, Century Casinos owns and operates casinos in Colorado and, through its Austrian subsidiary, in Poland. It also operates casinos aboard five luxury ocean liners.