The deal negotiated by Golden Entertainment and J&J Ventures Gaming focused on both Montana and Nevada, with the Silver State’s Nevada Gaming Commission seconding the opinion of the Nevada Gaming Control Board and confirming that the transaction may proceed.
Nevada Oks Long-Anticipated J&J-Golden Entertainment Dela
The operations in Montana had already been acquired for $109 million and $5 million in purchased cash in September, in line with the initially stated transaction window.
J&J Ventures Gaming is spending $213.5 million to pay for the acquisition along with $34 million in purchased cash. The deal is yet to be finalized, though, and will probably be completed by the end of January 2024.
There are customary regulatory filings to now be provided as part of the deal before the transaction can be finalized. The Nevadan sale will create a five-year agreement between the two parties, with J&J Ventures Gaming supporting Golden Entertainment branded establishments in the Silver State.
J&J is, however, hoping to synergize its broader operations with its newly-acquired business in Nevada in due time and derive an even greater value from the acquisition.
The deal was partially orchestrated by Oaktree Capital Management, the majority owner at J&J Gaming and not least owing to familiarity between Golden Entertainment president and CFO Charles Protell and Oaktree’s managing director Matthew Wilson, who attended the same college.
Confidence in Golden Entertainment’s Tavern Business
Protell himself sold 35,946 shares in Golden Entertainment earlier this week, gaining $1.46 million on the sale. Golden Entertainment owns and operates casinos and taverns as well as distributed gaming solutions in Southern Nevada.
The change of leadership is nothing that Golden Entertainment fears with the company confident that the product it built over years of hard work serves well to both companies and especially shareholders.
J&J’s decision to support the Golden Entertainment tavern portfolio attests to the high degree of professionalism and result-driven businesses that the latter company has been running. The companies have also felt confident in working together and seeing this deal through.