Isle of Capri to sell Lady Luck Casino Marquette to Casino Queen for $40M
Isle of Capri has entered into a definitive agreement to sell Lady Luck Casino Marquette to an affiliate of Casino Queen, based in Swansea, Illinois. CQ Holdings Company will purchase Lady Luck Casino Marquette for cash consideration of approximately $40.0M subject to a customary working capital adjustment. The consideration represents 7.5x the trailing-twelve months Adjusted EBITDA through 1Q17. Lady Luck Casino Marquette will be accounted for as discontinued operations beginning in 2Q17. The sale is expected to close in early FY18, subject to the approval of the Iowa Racing and Gaming Commission, the Illinois Gaming Control Board and customary closing conditions. This transaction is expressly permitted by the recently signed definitive merger agreement pursuant to which Eldorado Resorts will acquire all of the outstanding shares of Isle of Capri and is not expected to alter the timing of the transaction with Eldorado.