COLORADO SPRINGS, Colorado,
April 9, 2013 /PRNewswire/ -- Century
Casinos, Inc. (NASDAQ Capital Market® and Vienna Stock Exchange:
CNTY) announced today that its subsidiary Century Casinos Europe
GmbH signed the final share sale agreement with LOT Polish Airlines
and closed on the transaction to purchase an additional 33.3%
ownership interest in Casinos Poland Ltd ("CPL"). Century Casinos,
Inc. now owns a 66.6% ownership interest in CPL.
CPL is the owner and operator of eight casinos throughout
Poland with a total of 317 slot
machines and 77 gaming tables. As of the nine months ended
September 30, 2012, CPL had a 43%
share of the Polish casino market and is currently participating in
other pending license applications.
For the year ended December 31,
2012, CPL recorded net operating revenue of USD 44.0 million, EBITDA of USD 4.5 million and net income of USD 1.3 million (all based on average PLN to USD
exchange rates for the same period).
"We are very pleased with the closing of this transaction, which
represents another milestone in our company's history by
significantly increasing our scale and diversity. We expect this
acquisition to be immediately accretive and are very excited about
the growth potential it brings for our company," said Erwin
Haitzmann and Peter Hoetzinger, Co Chief Executive Officers of
Century Casinos. "The 'Casinos Poland' brand is exceptionally
strong as demonstrated by a market share that consistently has been
between 40% and 50% in recent years," they continued.
As of today, Century Casinos, Inc. will begin consolidating CPL
as a majority-owned subsidiary with a controlling financial
interest. The Company will account for and report the 33.3% owned
by CPL's co-shareholder, State-owned Polish Airports, as a
non-controlling financial interest. Consolidation of CPL will
increase the Company's overall net operating revenue and operating
costs and expense; the Company previously reported its interest in
CPL under the equity method.
The purchase price of the investment was approximately
$6.8 million, financed with
borrowings under the Company's Bank of Montreal Credit
Agreement.
About Century Casinos, Inc.:
Century Casinos, Inc. is
an international casino entertainment company that owns and
operates Century Casino & Hotels in Cripple Creek and Central City, Colorado, and in Edmonton, Alberta, Canada and the Century
Casino in Calgary, Alberta,
Canada. The Company also operates casinos aboard twelve
luxury cruise vessels (Regatta, Nautica, Marina, Riviera,
Mein Schiff 1, Mein Schiff 2, Wind Surf, Wind Star, Wind
Spirit, Seven Seas Voyager, Seven Seas Mariner and Seven Seas
Navigator). Through its Austrian subsidiary, Century Casinos Europe
GmbH, the Company holds a 66.6% ownership interest in Casinos
Poland Ltd, the owner and operator of eight casinos in Poland. The Company also manages the
operations of the casino at the Radisson Aruba Resort, Casino &
Spa in Aruba, Caribbean. Century Casinos, Inc. continues to
pursue other international projects in various stages of
development.
For more information about Century Casinos, visit our website at
www.centurycasinos.com. Century Casinos' common stock trades on The
NASDAQ Capital Market® and the Vienna Stock Exchange under the
symbol CNTY.
This release may contain "forward-looking statements" within
the meaning of Section 27A of the Security Act of 1933, as amended,
Section 21E of the Securities Exchange Act of 1934, as amended, and
the Private Securities Litigation Reform Act of 1995. These
statements are based on the beliefs and assumptions of the
management of Century Casinos based on information currently
available to management. Such forward-looking statements include,
but are not limited to, statements regarding Casinos Poland Ltd.,
future results of operations, operating efficiencies, synergies and
operational performance, and plans for our casinos and our Company.
Such forward-looking statements are subject to risks, uncertainties
and other factors that could cause actual results to differ
materially from future results expressed or implied by such
forward-looking statements. Important factors that could cause
actual results to differ materially from the forward-looking
statements include, among others, the risks described in the
section entitled "Risk Factors" under Item 1A in our Annual Report
on Form 10-K for the year ended December 31,
2012. Century Casinos disclaims any obligation to revise or
update any forward-looking statement that may be made from time to
time by it or on its behalf.