Penn National Gaming Completes Acquisition of Hollywood Casino Perryville Operations
July 01 2021 - 8:25AM
Business Wire
Accretive Acquisition Expands Penn
National’s Regional Gaming and Omni-Channel Platform to 20th
State
Penn National Gaming, Inc. (PENN: Nasdaq)(“Penn
National” or the “Company”) announced today that it has completed
the previously announced acquisition of the operations of Hollywood
Casino Perryville in Maryland. In December 2020, the Company
entered into a definitive agreement with Gaming and Leisure
Properties, Inc. (GLPI: Nasdaq) (“GLPI”) to acquire the operations
of Hollywood Casino Perryville for $31.1 million in cash. Today,
the Company entered into a lease with GLPI for the real estate
assets associated with the facility, with annual rent of
approximately $7.77 million. Penn National’s acquisition received
final approval from the Maryland Lottery and Gaming Control
Commission on May 27, 2021.
“Penn National is excited to re-enter the strong Maryland gaming
market and to once again operate Hollywood Casino Perryville, a
property we developed in 2010. Today’s acquisition of the
operations of Hollywood Casino Perryville adds a twentieth gaming
jurisdiction to our leading nationwide footprint,” said Jay
Snowden, President and CEO of Penn National.
Penn National has named Allie Evangelista as General Manager of
Hollywood Casino Perryville. Ms. Evangelista most recently served
as General Manager at Penn National’s Hollywood Gaming at Mahoning
Valley Race Course in Ohio. Matt Heiskell, current General Manager
of Hollywood Casino Perryville, will now oversee operations at the
Company’s Hollywood Casino Tunica and 1st Jackpot Casino in
Mississippi.
“We are thrilled to welcome both new and former Team Members to
the Penn National family, and look forward to hitting the ground
running in what promises to be an exciting time following the
recent legalization of sports wagering in Maryland. This
acquisition provides yet another opportunity for Penn National to
expand our unique omni-channel platform as we expect to introduce a
Barstool Sportsbook-branded retail sports book at Hollywood Casino
Perryville and mobile app to players across Maryland,” concluded
Mr. Snowden.
About Penn National Gaming
With the nation's largest and most diversified regional gaming
footprint, including 42 properties across 20 states, Penn National
continues to evolve into a highly innovative omni-channel provider
of retail and online gaming, live racing and sports betting
entertainment. The Company's properties feature approximately
50,000 gaming machines, 1,300 table games and 8,800 hotel rooms,
and operate under various well-known brands, including Hollywood,
Ameristar, and L'Auberge. Our wholly-owned interactive division,
Penn Interactive, operates retail sports betting across the
Company's portfolio, as well online social casino, bingo, and
iCasino products. In February 2020, Penn National entered into a
strategic partnership with Barstool Sports, whereby Barstool is
exclusively promoting the Company's land-based and online casinos
and sports betting products, including the Barstool Sportsbook
mobile app, to its national audience. The Company's omni-channel
approach is bolstered by the mychoice loyalty program, which
rewards and recognizes its over 20 million members for their
loyalty to both retail and online gaming and sports betting
products with the most dynamic set of offers, experiences, and
service levels in the industry.
Forward-Looking Statements
This press release contains “forward-looking statements” within
the meaning of the Private Securities Litigation Reform Act of
1995. These statements can be identified by the use of
forward-looking terminology such as “expects,” “believes,”
“estimates,” “projects,” “intends,” “plans,” “goal,” “seeks,”
“may,” “will,” “should,” or “anticipates” or the negative or other
variations of these or similar words, or by discussions of future
events, strategies or risks and uncertainties. Specifically,
forward looking statements include, but are not limited to,
statements regarding: the expected benefits and potential
challenges of the Perryville transaction with Gaming and Leisure
Properties, Inc., including the anticipated benefits for the
Company’s online and retail sports betting, iCasino and social
casino products; the Company’s online strategy; the expected launch
and expansion of the Barstool-branded mobile sports betting product
and its future revenue and profit contributions; and the Maryland
gaming market, including with regards to retail and mobile sports
betting. Such statements are all subject to risks, uncertainties
and changes in circumstances that could significantly affect the
Company’s future financial results and business.
Accordingly, the Company cautions that the forward-looking
statements contained herein are qualified by important factors that
could cause actual results to differ materially from those
reflected by such statements. Such factors include, but are not
limited to: (a) the magnitude and duration of the impact of the
COVID-19 pandemic on general economic conditions, capital markets,
unemployment, consumer spending and the Company’s liquidity,
financial condition, supply chain, operations and personnel; (b)
potential adverse reactions or changes to business or regulatory
relationships resulting from the announcement or completion of the
transaction; (c) the outcome of any legal proceedings that may be
instituted against the Company, GLPI or their respective directors,
officers or employees; (d) the impact of new or changes in current
laws, regulations, rules or other industry standards; (e) other
factors as discussed in the Company’s Annual Report on Form 10-K
for the year ended December 31, 2020, subsequent Quarterly Reports
on Form 10-Q and Current Reports on Form 8-K, each as filed with
the U.S. Securities and Exchange Commission. The Company does not
intend to update publicly any forward-looking statements except as
required by law. In light of these risks, uncertainties and
assumptions, the forward-looking events discussed in this press
release may not occur.
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version on businesswire.com: https://www.businesswire.com/news/home/20210701005510/en/
Felicia Hendrix Chief Financial Officer Penn National Gaming
610/373-2400
Joseph N. Jaffoni, Richard Land JCIR 212/835-8500 or
penn@jcir.com
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