HOUSTON, Jan. 25, 2008 (PRIME NEWSWIRE) -- Nevada Gold & Casinos, Inc. (AMEX:UWN) today announced that effective January 27, it will have completed the sale of its 43% membership interest in the Isle of Capri-Black Hawk LLC to Isle of Capri Casinos, which owns the remaining 57% interest.
The Company received $64.6 million for its membership interest in Isle of Capri-Black Hawk LLC, which owns the Isle of Capri-Black Hawk and Colorado Central Station, both of which are in Black Hawk, Colorado.
"We believe the completion of this transaction will enable us to strengthen our financial position, complete the purchase of the Horizon Casino Hotel and pursue future acquisitions," said Robert Sturges, Chief Executive Officer of Nevada Gold. "These steps are a clear reflection of our commitment to executing our stated growth initiatives and building shareholder value."
The Company noted that proceeds from the transaction will be used in part to reduce senior debt from $54.4 million to $15.6 million which is payable no later than June 30, 2010.
About Nevada Gold & Casinos
Nevada Gold & Casinos, Inc. (AMEX:UWN) of Houston, Texas is a developer, owner and operator of gaming facilities and lodging entertainment facilities in Colorado and California. The Company recently reached an agreement to acquire the Horizon Casino Hotel in Vicksburg, Mississippi. Colorado Grande Casino in Cripple Creek, Colorado is wholly owned and operated by Nevada Gold. The Company also works with Native American tribes in a variety of capacities. Native American projects consist of a casino to be built in Pauma Valley, California for the La Jolla Band of Luiseno Indians and a casino to be developed by Buena Vista Development Company, LLC in the city of Ione, California for the Buena Vista Rancheria of Me-Wuk Indians. For more information, visit www.nevadagold.com
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