Trust for the investment of real estate Century Casinos of Colorado will sell their Alberta assets to Vici Properties for a cash purchase price of CA$221.7 million (£132.4 million/$164.3 million/€152.5 million) in a sale-leaseback deal.
The vici century
Century Downs, Century Mile Racetrack and Casino, Century Casino St. Albert, and Century Casino & Hotel Edmonton are all part of the operator's Canadian portfolio that will be acquired by the former Caesars affiliate.
Incorporating the casinos into the current Vici and Century master lease deal is a natural next step. An additional $17.3 million, or 7.8 percent of the transaction price, will be due to the operator each year following the deal's closing.
Centennial Alberta properties purchased by Vici
The Canadian assets' real estate value will be unlocked through this deal, which will allow Century to continue its activities in Canada and give its co-chief executives, Erwin Haitzmann and Peter Hoetzinger, more financial flexibility to grow.
The proceeds from the transaction will go towards "general corporate purposes" and towards renovations at Century's Nugget Casino Resort in Nevada.
Century Casino St. Albert Vici
Additionally, they mentioned that they were considering using a portion of the earnings to reduce their debt. Furthermore, they want to reinvest in the company by buying back shares or paying out a special dividend.
They made it clear that they are still considering how to best allocate their funds.
