TORONTO, ON / ACCESSWIRE / February 27, 2020 / Seven Aces Limited (the "Company") (TSXV:ACES) is pleased to announce that its 70% owned subsidiary, Lucky Bucks, LLC ("Lucky Bucks"), has acquired seven additional gaming contracts from digital skill-based gaming terminal operators based in the U.S. State of Georgia. Lucky Bucks acquired three location contracts from Topaz Amusement LLC in exchange for cash consideration of US$1,850,135 (the "Topaz Acquisition") and four location contracts from J&G Amusement Inc. ("J&G") in exchange for cash consideration of US$1,527,488 on closing (the "J&G Acquisition", together with the Topaz Acquisition, the "Acquisitions")). Pursuant to the terms of the J&G Acquisition, J&G is entitled to additional consideration payable in the event of the satisfaction of certain conditions related to post-closing revenue generation. The amount of the additional consideration, if any, which may become payable to J&G will be determined by reference to the actual performance of the acquired location contracts. In the event that the acquired location contracts materially outperform historical results, the additional consideration payable may materially increase the aggregate purchase price paid for the contracts acquired from J&G.
Manu K. Sekhri, Chief Executive Officer of Seven Aces Limited, added the following remarks: "These acquisitions are consistent with our strategy of adding high performing locations in the state of Georgia. These acquisitions represent an important milestone in our company's history being the 24th and 25th transactions we have completed."
The purchase price for the Acquisitions was funded by Lucky Bucks through an advance under the credit facility described in the press release of the Company dated January 29, 2020 and titled "Seven Aces Limited Announces New US$165 Million Credit Facility and Acquisition of Additional Gaming Contracts". The gaming contracts that have been acquired are fully licensed and governed by the Georgia Lottery Corporation, and offer players a variety of skill-based coin-operated amusement machines.
About Seven Aces Limited
Seven Aces Limited is a gaming company, with a vision of building a diversified portfolio of world class gaming operations. The Company looks to enhance shareholder value by growing organically and through acquisitions. Currently, the Company is the largest route operator of skill-based gaming machines in the State of Georgia, United States of America.
For more information about the Company is available online at www.sevenaces.com.
For further information please contact:
Chief Financial Officer
Tel. (647) 228-8668
Tel. (416) 477-3411
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
Cautionary Statement Regarding Forward-Looking Information
This news release may contain forward-looking statements or "forward-looking information" within the meaning of applicable Canadian securities laws ("forward-looking statements"). Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or describes a "goal", or variation of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved.
All forward-looking statements reflect the Company's beliefs and assumptions based on information available at the time the statements were made. Actual results or events may differ from those predicted in these forward-looking statements. All of the Company's forward-looking statements are qualified by the assumptions that are stated or inherent in such forward-looking statements, including the assumptions listed below. Although the Company believes that these assumptions are reasonable, this list is not exhaustive of factors that may affect any of the forward-looking statements. The key assumptions that have been made in connection with the forward-looking statements include the following: the digital gaming terminals being fully-licensed by the Georgia Lottery Corporation; the continuation of the Company's acquisition strategy in the Georgia gaming market; the growing footprint of Lucky Bucks in the Georgia gaming market; generating value for the shareholders of the Company; the regulatory regime governing the business of Lucky Bucks in Georgia; the exchange rate between the U.S. dollar and Canadian dollar; the ability to grow the business and deliver returns for shareholders; the availability of high growth and high margin opportunities; continuing to add high performing locations; and the execution of the Company's business strategy and acquisition pipeline.
Forward-looking statements involve known and unknown risks, future events, conditions, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from any future results, prediction, projection, forecast, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, the Company's ability to continuing to execute a growth strategy through acquisitions and the Company's ability to generate higher margins and significant growth in cash flows. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.
The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events, or otherwise, except in accordance with applicable securities laws.
SOURCE: Seven Aces Limited