TORONTO, ON / ACCESSWIRE / June 3, 2020 / Seven Aces Limited (the "Company") (TSXV:ACES) is pleased to announce, further to the Company's news release dated May 26, 2020, that the lenders under its credit facility have agreed to amend the credit agreement entered into by Lucky Bucks, LLC ("Lucky Bucks"), the Company's wholly-owned subsidiary, on January 29, 2020 (the "Credit Facility").
As previously announced, the resignation of Anil Damani as an officer of Lucky Bucks would have triggered an event of default under the Credit Facility upon it becoming effective (absent an amendment of, or waiver under, the Credit Facility). In order to avoid the occurrence of such an event of default, the Company and its lenders have agreed to amend the Credit Facility to remove such an event of default from the Credit Facility in exchange for (i) the introduction of a LIBOR floor of 0.75%, and (ii) a one-time fee of approximately $146,000 for the fees and expenses of the lenders in connection with the amendment (the "Amendment"). The Company and the lenders entered into a definitive agreement on June 2, 2020 in order to memorialize the terms of the Amendment. All other terms of the Credit Facility remain the same.
In addition to the Amendment, the Company is also pleased to announce that Lucky Bucks has entered into the formal settlement agreement with the Georgia Lottery Corporation in connection with the regulatory infraction described in the Company's news release dated May 26, 2020. Pursuant to such settlement agreement, Anil Damani stepped down as an officer of Lucky Bucks effective June 2, 2020.
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:
Ryan Bouskill
Chief Financial Officer
Tel. (647) 228-8668
[email protected]
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" or similar words suggesting future outcomes or statements regarding an outlook.
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 Company's ability to adhere to amended terms of the Credit Facility; 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 Company's prospectus during the covid-19 pandemic, including that business will continue to boom counter-cyclically; 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.
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.
SOURCE: Seven Aces Limited