— Potential in 2017 for additional deployments —
— Certain terms of $30.5 million USD loan amended for 2017 —
VANCOUVER, Jan. 3, 2017 /CNW/ - POYDRAS GAMING FINANCE CORP. (TSX‐V: PYD; OTCQX: PYDGF) ("Poydras" or the "Company") announces that it expanded its contract with the Kickapoo Lucky Eagle Casino in Texas by an additional 108 Class II gaming machines. 70 of the 108 gaming machines were deployed and revenue generating as of December 15, 2016, with the remaining 38 machines deployed by the end of December 2016. Poydras also plans to place up to 100 additional machines at the Kickapoo Lucky Eagle Casino in 2017.
With the initial 108 machines in place, the Company now has over 200 revenue-generating machines in Texas and over 2,600 revenue-generating machines deployed in total.
"We are pleased to increase our footprint in Texas, and to be furthering our valued relationship with the Kickapoo Traditional Tribe of Texas as their only third-party, non-vendor-direct, distributor of gaming machines" said Peter Macy, Chairman and CEO of Poydras. "These additional deployments double our presence at the premier gaming facility in Texas. Our strong business development pipeline continues to find opportunities for growth within our existing client base, as well as uncover attractive deals with potential new customers, and accretive acquisition candidates in our core market and adjacent markets."
Amendment of Financing Agreement with MGG Investment Group LP
The Company also announces that effective December 30, 2016 it has amended certain terms of its $30.525 million USD five-year term loan facility with MGG Investment Group LP (see press release dated August 2, 2016). Certain covenants were amended for 2016 and 2017, while the interest rate and amortization schedule have not been amended and remain the same. The covenant amendments will result in a one-time additional expense to the Company of $151,000 in connection with the credit facility plus a variable fee on the termination of the loan.
About Poydras Gaming Finance Corp.:
Poydras Gaming is a regional slot route operator with over 2,600 revenue-generating gaming machines across casinos in Oklahoma and Texas. The Company primarily derives its revenue from short- and long-term revenue share contracts with Native American casinos. It provides gaming equipment such as slot machines and electronic table games, and project financing to owners, operators, and managers of casinos and other regulated gaming venues. The company works with casinos, new casino developments, and gaming machine suppliers. In addition, it distributes casino and bingo equipment, and offers direct and online sales of gaming supplies for poker and bingo. Additional information about the Company can be found on the SEDAR website at www.sedar.com.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE Poydras Gaming Finance Corp.
For further information: Keith Richards, Investor Relations | NATIONAL Equicom, T: (416) 848-1599, E: firstname.lastname@example.org; James Kim, VP of Corporate Development, Poydras Gaming Finance Corp., T: (604) 683-8393, E: email@example.com