LONDON, November 27, 2017 /PRNewswire/ --
Jackpotjoy plc (the "Company") (LSE:
JPJ), the largest online bingo-led operator in the world, is
pleased to announce it has secured a c.£388.5 million Senior
Secured Term and Revolving Credit Facility (the "Facilities"),
comprising a c.£375 million equivalent term loan (the "Term
Facility") and a £13.5 million revolving credit facility ("RCF").
Proceeds from the Term Facility will be used to repay the existing
first and second lien term loans.
The Term Facility comprises two committed tranches of £250
million and €140 million, has a maturity of seven years and
weighted average interest rate of 4.91% above Libor / Euribor, with
step downs of an additional 0.75% based on future leverage ratios
and credit ratings.
The RCF comprises one tranche of £13.5 million and has a
maturity of six years and an interest rate of 4.25% above Libor,
with step downs.
Upon completion of the new Facilities (estimated mid-December),
the Company's annual cash interest payments will be reduced by
approximately a third, or over £9 million in the first year. Pro
forma total net leverage (including earn-out obligations) is 3.40x,
in line with the 3.35x adjusted net leverage reported at
30 September 2017.
Standard & Poor's and Moody's are both expected to issue new
credit ratings on the Company. Standard & Poor's is
expected to maintain its rating at B+, whereas Moody's is expected
to upgrade the Company's rating to B1.
Keith Laslop, Chief Financial
Officer, said:
"We are thrilled to have secured the new Facilities which
clearly demonstrates the growth as well as stability of our
underlying businesses. The significant reduction in interest costs,
alongside further future rate reductions, allows us to further
drive shareholder value through accelerated deleveraging and
investment in the long-term growth of the business."
Macquarie Corporate Holdings PTY Limited (UK Branch) and Nomura
International plc acted as joint arrangers and joint physical
bookrunners of the Facilities.
About Jackpotjoy plc
Jackpotjoy plc is the parent company of an online gaming group
that provides entertainment to a global consumer base through its
subsidiaries. Jackpotjoy plc currently offers bingo and casino
games to its customers through its subsidiaries using the
Jackpotjoy (http://www.jackpotjoy.com), Starspins
(http://www.starspins.com), Botemania (http://www.botemania.es),
Vera&John (http://www.verajohn.com), Costa
(http://www.costabingo.com) and InterCasino
(http://www.intercasino.com ) brands. For more information about
Jackpotjoy plc, please visit http://www.jackpotjoyplc.com.
The information contained within this announcement is deemed
to constitute inside information as stipulated under the Market
Abuse Regulations (EU) No. 596/2014. Upon the publication of this
announcement, this inside information is now considered to be in
the public domain.
Cautionary Note Regarding Forward-Looking
Information
This release contains certain information and statements that
may constitute "forward-looking information" within the meaning of
applicable securities laws. Often, but not always, forward-looking
information can be identified by the use of words such as "plans",
"expects", "estimates", "projects", "predicts", "targets", "seeks",
"intends", "anticipates", "believes" or "is confident of" or the
negative of such words or other variations of or synonyms for such
words, or state that certain actions, events or results "may",
"could", "would", "should", "might" or "will" be taken, occur or be
achieved. Forward-looking information involves known and unknown
risks, uncertainties and other factors which may cause actual
results, performance, achievements or developments to be materially
different from those anticipated by the Jackpotjoy group (the
"Group") and expressed or implied by the forward-looking
statements. Forward-looking information contained in this release
includes, but is not limited to, statements with respect to the
repayment of the existing first and second lien term loans, the
completion of the new Facilities (including the timing thereof) and
the Group's future financial performance. These statements reflect
the Group's current expectations related to future events or its
future results, performance, achievements or developments, and
future trends affecting the Group. All such statements, other than
statements of historical fact, are forward-looking information.
Such forward-looking information is based on a number of
assumptions which may prove to be incorrect, including, but not
limited to, the ability of the Group to secure, maintain and comply
with all required licenses, permits and certifications to carry out
business in the jurisdictions in which it currently operates or
intends to operate; governmental and regulatory actions, including
the introduction of new laws or changes in laws (or the
interpretation thereof) related to online gaming; general business,
economic and market conditions (including market growth rates and
the withdrawal of the UK from the European Union); the Group
operating in foreign jurisdictions, the competitive environment;
the expected growth of the online gaming market and potential new
market opportunities; anticipated and unanticipated costs; the
protection of the Group's intellectual property rights; the Group's
ability to successfully integrate and realise the benefits of its
completed acquisitions; the amount of expected earn-out payments
required to be made; the Group's continued relationship with the
Gamesys group and other third parties; the Group's ability to
service its debt obligations; and the ability of the
Group to obtain additional financing, if, as and when required.
Such statements could also be materially affected by risks relating
to the lack of available and qualified personnel or management;
stock market volatility; taxation policies; competition; foreign
operations; the Group's limited operating history; and the Group's
ability to access sufficient capital from internal or external
sources. The foregoing risk factors are not intended to represent a
complete list of factors that could affect the Group. Additional
risk factors are discussed in Jackpotjoy plc's annual information
form dated 29 March 2017. Although
Jackpotjoy plc has attempted to identify important factors that
could cause actual results, performance, achievements or
developments to differ materially from those described in
forward-looking statements, there may be other factors that cause
actual results, performance, achievements or developments not to be
as anticipated, estimated or intended. There can be no assurance
that forward-looking statements will prove to be accurate, as
actual results, performance, achievement or developments are likely
to differ, and may differ materially, from those expressed in or
implied by the forward-looking information contained in this
release. Accordingly, readers should not place undue reliance on
forward-looking information. While subsequent events and
developments may cause the Group's expectations, estimates and
views to change, Jackpotjoy plc does not undertake or assume any
obligation to update or revise any forward-looking
information, except as required by applicable securities laws. The
forward-looking information contained in this release should not be
relied upon as representing the Group's expectations, estimates and
views as of any date subsequent to the date of this release. The
forward-looking information contained in this release is expressly
qualified by this cautionary statement. Investors should not place
undue reliance on forward-looking statements as the plans,
intentions or expectations upon which they are based might not
occur.
Investor Enquiries:
Jackpotjoy plc
Jason Holden
Director of Investor Relations
+44(0)7812-142118
+44(0)203-907-4032
jason.holden@jpj.com
Jackpotjoy Group
Amanda Brewer
Vice President of Corporate Communications
+1-416-720-8150
amanda.brewer@jackpotjoygroup.com
Media Enquiries:
Finsbury
James Leviton
Andy Parnis
+44(0)207-251-3801
jackpotjoy@finsbury.com