Penn National Gaming, Inc. Enters into New Credit Facilities and Completes Refinancing Transactions
January 19, 2017 at 08:25 pm
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Penn National Gaming, Inc. announced that it has entered into new senior secured credit facilities and completed its other previously announced refinancing transactions for the purpose of refinancing its existing credit facilities and its existing senior unsecured notes, and raising additional capital for general corporate purposes. The company's new senior secured credit facilities are comprised of a $700 million revolving credit facility with a maturity of five years, a $300 million term loan A facility with a maturity of five years and a $500 million term loan B facility with a maturity of seven years. The interest rates applicable to loans under the New Credit Facilities are, at Penn’s option, equal to either a LIBOR rate or a base rate plus an applicable margin. The applicable margin for the revolving credit facility and the term loan A is initially 2.25% for LIBOR loans and 1.25% for base rate loans until Penn provides financial reports for the first full fiscal quarter following closing and, thereafter, will range from 1.25% to 3.00% per annum for LIBOR loans and 0.25% to 2.00% per annum for base rate loans, in each case depending on the company's total net leverage ratio. The applicable margin for the term loan B is 2.50% for LIBOR loans and 1.50% for base rate loans. The term loan B is also subject to an interest rate floor of 0.75% for LIBOR loans and 1.75% for base rate loans.
PENN Entertainment, Inc. is a provider of integrated entertainment, sports content and casino gaming experiences. The Company operates over 43 properties in 20 states, online sports betting in 18 jurisdictions and iCasino in five jurisdictions, under a portfolio of brands, including Hollywood Casino, LâAuberge, ESPN BET, and theScore Bet Sportsbook and Casino. Its segments include Northeast, South, West, Midwest, and Interactive. The Northeast segment include Ameristar East Chicago, Hollywood Casino Columbus, Hollywood Casino at Greektown, and Hollywood Casino at PENN National Race Course. The South segment includes 1st Jackpot Casino, Ameristar Vicksburg, Boomtown New Orleans, and LâAuberge Baton Rouge. The West segment include Ameristar Black Hawk, M Resort, and Zia Park Casino. The Midwest segment includes Ameristar Council Bluffs, Hollywood Casino Aurora, and River City Casino. Its Interactive segment includes online sports betting, iCasino and online social gaming operations.