The purchase price reflects an implied earnings before interest, taxes, depreciation and EBITDA multiple of 4.9x for 2021. Century confirmed that it will fund the acquisition with cash from its balance sheet.
Rocky Gap, located in Flintstone, Maryland, reported net operating revenue of $78m and adjusted EBITDA of $27m for the year ended 31 December 2021.
The property features a 25,000 square ft gaming floor, 630 slot machines, 16 table games, 198 hotel rooms and an 18-hole golf course designed by Jack Nicklaus.
Century Co-CEOs Erwin Haitzmann and Peter Hoetzinger said: "The addition of Rocky Gap is another important milestone in our pursuit to acquire prime US assets. With this acquisition and our pending acquisition of the Nugget Casino Resort in Nevada, we will oversee a US portfolio that reaches from east to west.
"We are looking forward to working with the Maryland Lottery and Gaming Control Agency to obtain gaming approvals, and with the casino leadership and team members to effect a smooth transition and great future for Rocky Gap."
While Century is set to acquire Rocky Gap’s operations, Vici Properties will acquire the real estate assets for approximately $204m. Century will amend its existing triple net lease agreement with Vici to include the Rocky Gap property, which will include an initial annual rent of around $15.5m.
Century published its Q2 2022 financial results earlier this month, reporting positive earnings and revenue performance.
Net operating revenue stood at $111.1m, representing growth of 21% year-on-year.
