Great Canadian Gaming Corporation is an Ontario-based company that operates 26 gaming and hospitality facilities in Canada. Founded in 1982, the company oversees casino facilities in Ontario, British Columbia, New Brunswick and Nova Scotia. In addition, the company supports more than 1,400 local charities and nonprofits with the help of the PROUD program, and the proceeds are spent on healthcare, education and social services.
The gaming giant most recently notified the Raptor acquisition company and its RAC affiliate of a private offer with a total principal amount of more than $350 million of its 4.875% senior secured bonds due 2026. The proceeds were located and secured in escrow until the specified conditions were met.
This also includes the fulfillment or waiver of all conditions prior to the completion of a previously disclosed arrangement plan under section 288 of the British Columbia Business Act. RAC, an affiliate of the fund managed by an affiliate of Apollo Global Management, will receive all common shares issued by Great Canadian Gaming Corporation.
The respondent will acquire the shares at a price of CA$45 in cash. After the launch in escrow, the game leader then expects the net proceeds from the transaction to be used in part as contract funding. This includes satisfaction with numerous regulatory approvals and customary closing details. So far, the company has received approval from the Competition Act, the Canadian Investment Act, and the Mutuel Agency in Paris, Canada.
Terrence Doyle, interim CEO of the gaming giant, provided an update on the acquisition. Mr Doyle said significant progress had been made to complete the agreement. He also noted that the gaming company will continue to work diligently with RAC to conclude an agreement as soon as possible.
The gaming company has endured difficulties over the past 15 months, with most casino facilities across the country closing in unprecedented conditions. However, as B.C. enters the third stage of its reopening plan, the company has been allowed to resume operations at casinos for the first time in nearly 16 months. Starting July 1, customers will be welcomed back at River Rock Casino & Resort, Hard Rock Casino Vancouver, Element Casino Victoria, Element Casino Surrey, Casino Nanaimo, Element Casino Chilliwak, Hastings Racecourse, Chance Maple Ridge and Chance Dawson Creek.