Poydras Gaming Finance Corp. Announces Sale of Bingo Business
Dec 22, 2017, 13:26 ET
VANCOUVER, Dec. 22, 2017 /CNW/ - POYDRAS GAMING FINANCE CORP. (TSX-V: PYD) (OTCQX: PYDGF) ("Poydras" or the "Company") today announces that it has completed the sale of the Company's bingo business (the "Bingo Business") to Pollard Games, Inc. ("American Games"), a subsidiary of Pollard Banknote Limited (TSX: PBL). American Games has acquired Poydras' inventory of bingo equipment and supplies and other tangible property, certain intellectual property and certain permits required for the conduct of the Bingo Business.
"The sale of our non-core Bingo Business allows us to sharpen our focus on our growing and more profitable slot machine route business," said Peter Macy, CEO of Poydras. "We acquired these assets in 2015 as part of our acquisition of the Integrity Companies ("Integrity") and they were a relatively modest contributor to our overall financial results, while offering fewer and fewer synergies with our core casino-centric business over time. As such, we expect to see limited impact on our EBITDA performance and in the longer term to benefit from the redeployment of management time and capital. American Games has been our valued supplier for many years and we are confident that they will continue to provide great service and products to our customers going forward."
The Bingo Business was comprised primarily of a brick and mortar wholesale business that supplies bingo paper, bingo ink, and related consumables to Tribal and charity bingo operations, and both retail and commercial customers.
"This acquisition builds on our long-standing relationship with Integrity," said Steven Fingold, President of American Games. "We've been Integrity's primary bingo supplier for close to 20 years and are looking forward to carrying on in their footsteps. The current Integrity staff and all the great products and services customers have become accustomed to will carry on. We're looking forward to working closer with both Tribal bingo halls and the various charity bingo operations that rely on our products for the very worthwhile endeavors they support."
About Pollard Banknote
Pollard Banknote is a leading lottery partner to more than 60 lotteries worldwide, providing high quality instant ticket products, licensed games and strategic marketing and management services for both traditional instant games and the emerging iLottery space of web, mobile and social channels. The company is a proven innovator and has decades of experience helping lotteries to maximize player engagement, sales, and proceeds for good causes. Pollard Banknote also plays a major role in the charitable pull‐tab and bingo markets in North America via its wholly owned subsidiary, Pollard Games, Inc. (dba "American Games"). Established in 1907, Pollard Banknote is owned approximately 73.5% by the Pollard family and 26.5% by public shareholders and is publicly traded on the TSX (PBL). For more information, please visit our websites at www.pollardbanknote.com and www.americangames.net.
About Poydras Gaming Finance Corp.
Poydras Gaming Finance Corp. is a regional slot route operator with approximately 2,600 gaming machines in operation across 30 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. Effective January 1, 2018, Poydras will change its name to Integrity Gaming Corp. Additional information about the Company can be found on the Company's website at www.poydrasgaming.com and 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.
Cautionary Note Regarding Forward-Looking Statements
Certain information in this news release is considered forward-looking within the meaning of certain securities laws and is subject to important risks, uncertainties and assumptions. This forward‐looking information includes, among other things, information with respect to the Company's beliefs, plans, expectations, anticipations, estimates and intentions. The words "may", "could", "should", "would", "suspect", "outlook", "believe", "anticipate", "estimate", "expect", "intend", "plan", "target" and similar words and expressions are used to identify forward‐looking information. The forward-looking information in this news release, including those statements relating to expected EBITDA impact, and the closing of the transaction, describes the Company's expectations as of the date of this news release.
The results or events anticipated or predicted in such forward‐looking information may differ materially from actual results or events. Material factors which could cause actual results or events to differ materially from such forward-looking information include, among others, risks arising from general economic conditions and adverse industry events.
The Company cautions that the foregoing list of material factors is not exhaustive. When relying on the Company's forward-looking information to make decisions, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. The Company has assumed a certain progression, which may not be realized. It has also assumed that the material factors referred to in the previous paragraph will not cause such forward-looking information to differ materially from actual results or events. However, the list of these factors is not exhaustive and is subject to change and there can be no assurance that such assumptions will reflect the actual outcome of such items or factors.
THE FORWARD‐LOOKING INFORMATION CONTAINED IN THIS NEWS RELEASE REPRESENTS THE EXPECTATIONS OF THE COMPANY AS OF THE DATE OF THIS NEWS RELEASE AND, ACCORDINGLY, IS SUBJECT TO CHANGE AFTER SUCH DATE. READERS SHOULD NOT PLACE UNDUE IMPORTANCE ON FORWARD‐LOOKING INFORMATION AND SHOULD NOT RELY UPON THIS INFORMATION AS OF ANY OTHER DATE. WHILE THE COMPANY MAY ELECT TO, IT DOES NOT UNDERTAKE TO UPDATE THIS INFORMATION AT ANY PARTICULAR TIME.
SOURCE Poydras Gaming Finance Corp.
For further information: Justin Canivet, Investor Relations | NATIONAL Equicom, T: 416.586.1942, E: [email protected]; James Kim, VP of Corporate Development, Poydras Gaming Finance Corp., T: 604.683.8393, E: [email protected]
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