CasinoCityTimes.com

Gurus
News
Newsletter
Search News Subscribe
Stay informed with the
NEW Casino City Times newsletter!
Newsletter Signup
Stay informed with the
NEW Casino City Times newsletter!

Gaming News

 

Alliance Gaming Announces Signing of Definitive Agreement For Sale of its Nevada Route Subsidiary

14 August 2000

LAS VEGAS, Nevada – (Press Release)-- Aug. 14, 2000 -- Alliance Gaming Corp. (Nasdaq: ALLY) today announced that it has signed a definitive agreement for the sale of its Nevada-based route subsidiary, United Coin Machine Co., to UC Acquisition Company of Nevada, LLC. Consistent with the terms of the letter of intent, the gross sales price is $118 million, which will consist of $112 million in cash at closing and $6 million in preferred stock with a mandatory annual redemption over a five-year period.

The ultimate closing of the transaction is subject to various regulatory approvals and financing. In addition, Alliance will enter into a supply agreement, whereby United Coin will purchase a minimum of 2,500 gaming devices from Alliance's Bally Gaming, Inc. subsidiary over a five-year term after closing.

``The signing of this definitive agreement moves us one step further along in the process,'' stated Robert L. Miodunski, President and Chief Operating Officer of Alliance Gaming Corporation. ``We have now reached agreement on all the business issues of the transaction, and can move forward with the regulatory process.''

UC Acquisition Company was formed in cooperation with Iowa based gaming investors led by Daniel Kehl and Las Vegas based investor Michael S Luzich. ``We are pleased to be moving into the next phase of the transaction, and expect to file the required gaming applications in Nevada very soon,'' stated Kehl.

< Gaming News