Twin River Worldwide Holdings has entered into a deal to acquire the Tropicana Evansville casino operations from Caesars Entertainment.
As part of the acquisition, Gaming and Leisure Properties, Inc. (GLPI), a publicly traded gaming-focused real estate investment trust (REIT), will acquire the Evansville casino real estate for $340 million and lease it back to Twin River for $28 million/year in rent, subject to escalation.
Twin River will also acquire unencumbered rights to the sports betting and iGaming skins associated with the Evansville operations to access the growing Indiana market as part of the transaction.
“This transaction is consistent with our core strategy of acquiring strategic gaming assets at attractive valuations and, importantly, represents the Company’s entry into a 10th state. It also provides us with access to an attractive Indiana gaming market, in which we will look to significantly advance our mobile and online sports betting and iGaming initiatives. We believe this property is a great fit for our portfolio. We are acquiring the operations at a value accretive multiple, while also enhancing our interactive offerings,” George Papanier, President and Chief Executive Officer of Twin River, said.
The transaction is expected to close in mid-2021, subject to receipt of required regulatory approvals and other customary closing conditions.