Stanley Leisure plc has announced that it has agreed to acquire MLG Investments Limited, which owns the Westcliff and Spielers casinos in Southend, and Triangle Casino (Bristol) Limited, which owns the Triangle Casino in Bristol, from R J Bown (Holdings) Limited. Completion of these acquisitions is expected today. The total price for the properties has been set at £29.8 million (US$50M), including the repayment of indebtedness of approximately £3.0 million (US$5.4M), will be subject to an adjustment for working capital. Stanley is paying for the deal in cash drawn on existing facilities.

The Westcliff and Spielers casinos, although separately licensed, operate from a single site. The two casinos have approximately 50,000sq ft of floor space, with a further 20,000sq ft available for expansion. They are the largest and most successful casinos in the region and have a well-established customer base. The Triangle casino opened in late 2003 and has approximately 8,000sq ft of floor space. Its acquisition immediately enhances Stanley's presence in Bristol. Stanley expects the casino to make a financial contribution in due course.

For the year ended 31 December 2004, based on the most recent audited accounts, the Casinos had aggregated gross assets of £12.4 million (US$22.3M). The Westcliff and Spielers casinos reported an aggregated profit after tax of £1.1 million (US$2M), while in its first full year of operation the Triangle casino reported a loss after tax of £452,000 (US$0.8M). For the year ended 31 December 2005 the aggregated EBITDA of the Casinos, after adjustment for non-recurring items, was £2.98 million (US$5.3M).

Bob Wiper, Chief Executive of Stanley, said: "The acquisition of these prestigious and highly successful casinos, in locations where we were under-represented, is an excellent addition to the Stanley estate. We intend to build on the successes that these Casinos have enjoyed and expect them to be major beneficiaries of the recent deregulation of the gaming industry. We also look forward to working closely with the local authority in progressing Southend's interests in obtaining new licences under the 2005 Gambling Act." (E-02.03.06)

© Copyright 2006 CasinoCompendium



>>> return to archives
>>> return to frontpage