American regional casino operator Boyd Gaming Corporation announced yesterday that it had signed a definitive agreement that will see it pay approximately $280.5 million in order to purchase Valley Forge Casino Resort in eastern Pennsylvania from current owner Valley Forge Convention Center Partners LP.
Las Vegas-based Boyd Gaming Corporation recently revealed that it would be spending some $575 million in order to take over four casinos in Missouri, Ohio and Indiana owned by rival Pinnacle Entertainment Incorporated as part of that firm’s planned acquisition by Penn National Gaming Incorporated and stated that this most recent deal is to see its portfolio eventually encompass some 29 venues spread across ten states.
Located around 20 miles northwest of central Philadelphia in the small community of King of Prussia, Valley Forge Casino Resort features eight bars and restaurants alongside in excess of 100,000 sq ft of meeting, convention and exhibition space while its 40,000 sq ft casino offers 50 gaming tables and 600 slots. The nearly 500-room property recently racked up almost $9.55 million in total gaming revenues for November, which represented an increase of 12.4% year-on-year, with Boyd Gaming Corporation declaring that it intends to bring a further 250 slots to the Montgomery County venue post-sale.
Keith Smith, Chief Executive Officer and President for Boyd Gaming Corporation, explained that the acquisition of Valley Forge Casino Resort is expected to be completed during the third quarter of 2018 subject to the receipt of ‘all required regulatory approvals’ and will give his firm its first property in Pennsylvania.
“The acquisition of Valley Forge Casino Resort is another excellent opportunity to further grow and diversify our nationwide portfolio,” read a statement from Smith. “With this acquisition, we will expand into the second-largest gaming state in the country, establishing a presence in a densely populated and high-traffic area just west of Philadelphia. And thanks to Pennsylvania’s recent passage of gaming expansion legislation, there are new opportunities to drive incremental growth at Valley Forge [Casino Resort] through the expansion of the property’s slot capacity and the introduction of new forms of gaming.”
Smith moreover proclaimed that Boyd Gaming Corporation’s purchase of Valley Forge Casino Resort along with the four Pinnacle Entertainment Incorporated properties will see the company gain ‘direct access to four of the nation’s largest gaming markets’ in St Louis, Cincinnati, Kansas City and Philadelphia featuring a combined population of roughly ten million adults.
“We believe this expansion will help drive additional growth throughout our nationwide portfolio as we market our destination properties to these new customers in the Midwest and Northeast,” read the statement from Smith.