Great Canadian Gaming (GCG) is recognised as one of the largest, and most respected casino operators in the country. But soon this organisation of the Great White North will likely be part of a United States based company.
In the largest equity takeover in Canadian casino history, American corporation Apollo Global Management is set to purchase all of GCG’s shares, across all of its 25 nationwide properties. The bid put forward comes to a staggering $2.5 billion and will officially mean that the Canadian group will belong to a United States owner.
It has been hinted that some shareholders in GCG are holding out for a bigger bid, but at the same time the corporation also confirmed that the deal has been put on paper and is ready to be signed.
Understandably, some gaming enthusiasts in the Great White North expressed concern about the buyout. But, an Apollo Global Management spokesperson was quick to address the worries. The spokesperson explained that there were no plans of any kind to drastically alter the venues, and that in most cases each of the 25 properties would continue operating as they already were.
However, the spokesperson also stressed that the plans were not only maintain the casinos as they were, but also take them to new heights, and improve overall performance. The spokesperson concluded by suggesting that the chain of venues may even increase, and that the 25 current properties may just be the start of a much bigger, and broader network of establishments.
But, what about the existing GCG board members and management teams?
This concern was also addressed. It was explained that GCG would remain headquartered in Toronto, and that Canadian management teams and board members would likewise remain unchanged.
So it seems that much is being done to keep the corporation Canadian, even if the string of luxurious casinos will now officially be owned by Americans. Though, it should be kept in mind that all of these establishments are also still currently closed, with the world health crisis continuing to wreak havoc.
Either way, although it seems as if the deal is ready to go ahead, there are still some shareholders that have not agreed to the purchase. In particular, Boombergsen Investment Partners is calling foul. A representative has declared that the properties, and their long-term value, are being significantly undervalued. Madison Avenue Partners, and Breach Inlet Capital Investors, have expressed the same concerns.