Twin River to Acquire Tropicana Evansville Casino From Caesars in $140m Deal

Twin River will acquire the sports betting and online gambling rights associated with the casino
GLPI will buy the casino real estate for $340m and lease it to Twin River for $28m per year

GLPI will also acquire Twin River real estate in Dover for $144m

 

man holding two puzzle pieces

Twin River Worldwide Holdings has agreed to acquire the Tropicana Evansville casino from Caesars Entertainment for $140m. GLPI is buying the real estate and leasing it back to Twin River. [Image: Shutterstock.com]

Sports betting included

Twin River Worldwide Holdings has announced an agreement with Caesars Entertainment to acquire the Tropicana Evansville Casino in Indiana for $140m. The transaction’s structure will allow Twin River to take over the property without a cash outlay.

As part of the deal, Twin River will obtain the unencumbered rights to sports betting associated with the Evansville operations, along with the online gambling skins.

Acquisition details

Twin River is not the only company involved in the deal. According to the details of the acquisition, Gaming and Leisure Properties, Inc. (GLPI), a publicly traded gaming-focused real estate e sport bet trust, will acquire the casino real estate for $340m. GLPI will then lease it back to Twin River for $28m per year. This deal will be subject to escalation.

Part of the transaction also includes GLPI acquiring the real estate of a Twin River property in Dover, Delaware for $144m. The property will be leased back to Twin River for $12m a year, also subject to escalation.

The Evansville property is 79,000 square feet in size and includes a 45,000 square-foot casino floor. There are four dining areas on-site along with a race and sportsbook area. The facility includes convention space, which is located next to the casino, and the Riverfront Event Center, situated across the street.

Twin River president and chief executive officer, George Papanier, commented on the new transaction, stating that it is consistent with the company’s core strategy of acquiring strategic gaming assets at attractive valuations. The acquisition of the Tropicana Evansville Casino marks the tenth state in which Twin Rivers has operations.

We believe this property is a great fit for our portfolio.”

Papanier said the property will provide the company with access to the gaming market in Indiana where Twin River will look to advance its mobile and online sports betting and online gaming services.

We believe this property is a great fit for our portfolio,” Papanier added.

Acquiring Bally’s branding rights

The Evansville deal is not the only time Twin River has worked with Caesars this month. In mid-October, Twin River acquired the Bally’s casino brand from Caesars Entertainment for $20m.

Twin River plans to use the Bally’s name to rebrand almost its entire portfolio of properties. As part of the deal, Caesars will be allowed to keep the Bally’s name on its existing property in Las Vegas. Twin River Worldwide Holdings chairman Soo Kim sees the deal as an opportunity to revive a brand that is synonymous with American gaming.

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