Century Casinos gets initial approval for sale of South African properties
April 27, 2009
Century Casinos announced that the Competition Tribunal
South Africa approved the sale of the company's casino properties in South Africa.
This is the first of three regulatory approvals required for finalizing the
sale.
The closing of the transaction, which
is expected to occur towards the end of the second quarter of 2009, is still
subject to approvals by the Western Cape Gambling and Racing Board and the
KwaZulu-Natal Gambling Board.
On December 19, 2008, a subsidiary of
Century Casinos entered into an
agreement with Tsogo Sun Gaming (Pty) Limited to sell all of
the outstanding shares of Century Casinos Africa (Pty) Limited
("CCA") for a gross selling
price of ZAR 460.0 million (approximately $51.5 million) less the balance of
third-party South African debt and other agreed to amounts. Net proceeds from
the transaction are expected to be approximately ZAR 357.3 million
(approximately $40.0 million) and are payable at closing.
CCA owns and operates The Caledon
Hotel, Spa & Casino near Cape Town, South Africa, as well as 60 percent of,
and provides technical casino services to, Century Casino Newcastle, in
Newcastle, South Africa.
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