Penn takes over the Hollywood Casino Perryville business
Penn National Gaming announced today that the company will re-enter the market in state of maryland, because it has entered into a final contract with real estate fund (REIT) Gaming and Leisure Properties (GLPI) to take over the business Hollywood Casino Perryville.
"Penn National is excited to take over the Hollywood Casino Perryville business, the property we created in 2010 that will allow us to re-enter the strong Maryland gambling market and add our 20th gaming jurisdiction to our nationwide leadership."
Jay Snowden, president and CEO of Penn National
Penn takes over operations, pays the rent
Subject to customary working capital adjustments, Penn will take over the casino's operations upon closing of the deal $ 31.1 million in cash and you will pay approx $ 7.77 million annual rent under the lease agreement signed with GLPI for real estate related to Hollywood Casino Perryville.
Takeover of operations in Hollywood Casino Perryville will expand Penn National's reach in the United States, bringing the total number of states in which the casino operator is present to 20. Closing the deal is subject to state regulatory approval Maryland Lottery and the Gaming Commissionas well as other customary closing conditions, and is expected to occur in mid-2021.
Legalization of sports betting in Maryland
Maryland was one of the states where residents voted for various forms of gambling development with the presidential election. In the referendum, M. arylanders overwhelmingly supported the legalization of sports betting in the state, amazing Legislators in the move to adopt a proper sports betting law and establish a regulatory framework for the marketplace.
“In addition, with the recent approval of sports betting via the overwhelming portion of question 2 on election day, Maryland is expected to soon become a significant retail and mobile sports betting market. Consequently, this acquisition represents another opportunity to extend our unique multi-channel platform with retail sports betting and the Barstool mobile app. ”
Jay Snowden, president and CEO of Penn National
In the case of GLPI, the conditional agreement confirms the business model adopted by the REIT under which it owns the property and concludes lease agreements with casino operators.
Earlier this month, GLPI struck a deal to operate another gaming property of its own, the casino and the hotel Belle of Baton Rouge in Louisiana, where the parent company Casino Queen is based in Illinois, CQ Holding Company, took over the activity in this area. from Caesars Entertainment for an undisclosed fee.