Cannery Casino Deal Approved
27 September 2006
LAS VEGAS, Nevada – (PRESS RELEASE) -- Cannery Casino Resorts, LLC announces that Nevada Gaming Control has approved the acquisition by an entity managed by Oaktree Capital Management, LLC (Oaktree), a Los Angeles-based global private investment firm, of a 33% ownership interest in Cannery Casino Resorts. The approved transaction results in Millennium Gaming, Inc., a corporation equally owned by William J. Paulos and William C. Wortman, to own 67% of Cannery Casino Resorts, LLC while the Oaktree fund will own 33%.
Cannery Casino Resorts, LLC owns and operates the Cannery Casino & Hotel and operates the Rampart Casino at the Resort at Summerlin. Both properties are local Las Vegas casinos. A subsidiary of Cannery Casino Resorts, LLC has engaged Banc of America Securities, LLC and Merrill Lynch, Pierce, Fenner & Smith Incorporated to raise up to $275 million in a new senior secured credit facility. The proceeds will be used to pursue a gaming opportunity in Pennsylvania.
Oaktree Capital Management, LLC is a Los Angeles-based global investment management firm with more than $30 billion in assets under management in specialized investment strategies. These strategies include private equity, distressed debt, high yield bonds, convertible securities, emerging market equities, real estate and mezzanine debt. Oaktree's institutional clients include Fortune 100 companies, large public pension funds, university endowments, private foundations and high net worth individuals.
The Oaktree investment is made through its Principal Opportunities Group. The Principal Opportunities Group manages in excess of $4.2 billion in committed capital and sponsors management buyouts and other private equity investments. The Principal Opportunities Group has a history of investing in attractive companies in partnership with management, providing the resources necessary to develop the business and create long-term value.
Cannery Casino Resorts, LLC, owns and operates the Cannery Casino & Hotel in North Las Vegas, at the corner of Craig and Losee roads at 2121 E. Craig Rd., Las Vegas, Nev., 89030, as well as operates the Rampart Casino at the Resort at Summerlin at 221 N. Rampart Blvd., Las Vegas, Nev., 89145, which is located within the JW Marriott Resort.