Z Capital and Affinity Gaming propose nine-figure Full House Resorts acquisition
Z Capital Partners and its affiliate Affinity Gaming have announced a proposal to acquire operator Full House Resorts.
Las Vegas-based Full House currently operates five casinos and is subject to a $132.5m valuation, which equates to a share price valuation of $1.79.
Affinity operates five casinos in Nevada, three in Colorado, two in Missouri and one in Iowa, having recently appointed a new CEO in Tony Rodio.
Rodio would lead the management team in the proposed new company; the headquarters of which would remain in Las Vegas.
Z Capital is "confident" it can obtain the required funds to complete the acquisition and "would agree to a post-signing 'go shop' period to satisfy the Board’s fiduciary duties."
The details of the proposal were outlined in a letter to the Full House board of directors.
James Zenni, Chairman of Affinity’s Board of Directors and CEO of Z Capital Partners, said: "Our proposal represents a unique and compelling opportunity to maximise value for stockholders and stakeholders in both companies.
"With an experienced and dedicated management team, Affinity would bring significant operational capabilities and expertise that we believe would further propel the combined company's growth and unlock unrealised potential for Full House stockholders."