They do say that it’s the survival of the fittest and when it comes to casino mergers and acquisitions. We have seen plenty of them over the last year or two as various economies of the world are improving. It would appear that another merger may just be on the cards and that is between Affinity Gaming and Full House Resorts, and there is some big money on the table if that deal does go ahead.
Z Capital Partners, back in 2017, paid a cool $580 million Affinity Gaming and this week they have decided that they would like to turn their attention now to expanding by merging with Full House Resorts, and they are offering to pay up to $132.5 million to do so, which for reference values Full House Resorts shares at some $1.79 each.
However, that offer was quickly knocked into touch by the management team at Full House, for they issued a swift rejection of that offer, and stated that is simply wasn’t high enough, based probably on the fact that shares in their company were trading at $2.63 a share when they issued their rejection.
Full House does own quite a number of casinos, including casinos based in Mississippi, Colorado, Indiana and Nevada whilst Affinity Gaming operates, in total, some eleven casinos, which are located in Nevada, Colorado, Missouri and Iowa.
It is quite possible though, that Affinity Gaming will put in a revised and much higher bid sooner rather than later. However, the very fact that they have an interest in merging in one way of another with Full House could see other casino operators looking to expand and put in offers too.
Luke is originally from Auckland, New Zealand. However, he now resides in the north of England. He is a freelance journalist who enjoys covering the latest happenings in the gambling industry. Luke can be reached via email at email@example.com.