Penn National Gaming's public offering of 4 million shares will sell for $30.50 per share, the company announced today. The net proceeds of about $79.1 million from the offering will be used to repay debt.
Penn National reported a record fourth quarter Monday with revenue climbing 48.1% and net income jumping 105.2%. The Pennsylvania racetrack and casino company also announced it will be offering 2.5 million in additional shares of common stock, which should generate about $74 million. Another 1 million shares will be offered at the same time by the Carlino Family Trust.
Magna Entertainment stock hit a new 52-week high of $10.25 Friday morning. The Canadian racing conglomerate stock price has been on a steady march upward since mid-January when it was trading for around $7 per share. Churchill Downs and Penn National keep trading at a premium on the heels of a Bear Stearns report on account wagering.
Zippy Chippy extended his losing streak to 92 races Thursday night at Penn National when the 11-year-old Compliance gelding finished last of seven in a six-furlong maiden race. The Felix Monserrate trainee finished 20 1/2 lengths behind sixth-place finisher Dig That Jazz and nearly 33 lengths behind the winning Judge Me Ladies.
Legendary loser Zippy Chippy will attempt to win his first legitimate race Thursday night at Penn National when the 11-year-old gelding will make his 92nd career start.
A Nevada court on Jan. 25 dismissed a lawsuit that attempted to label Charles Town Races as a casino and force racetrack owner Penn National Gaming to pay a management fee to a previous owner of the track. The suit, which was filed by Showboat Development, was dismissed on the grounds that case should be heard in West Virginia, where the track is located.
Penn National Gaming reported a 67.3% increase in revenue and a 52.5% increase in net income for the third quarter. In other news, the company is seeking dismissal of a lawsuit filed against Charles Town Races by Showboat Development over the rights to operate slot machines and video lottery terminals at the company's West Virginia racetrack. If the case is not dismissed, Penn National wants the case moved out of Nevada to a West Virginia court.
Penn National Gaming has agreed to purchase the assets of the Bullwhackers Casino operations from Colorado Gaming and Entertainment Co., a subsidiary of Hilton Group, for $6.5 million in cash. The Pennsylvania-based company already has gaming holdings in Louisiana and West Virginia.
Penn National's stock got a huge boost this week from a glowing first quarter earnings report and an announcement that it will soon close a deal involving casinos in Canada and Louisiana.
A 45.9% increase in revenue at Charles Town Races helped its parent company Penn National acheive record revenue, earnings, and net income for the first quarter of the year.
Bill Bork, the longtime racetrack executive who spent much of his time in Pennsylvania, where he even helped get old Pitt Park off the ground, will retire as president of Penn National Gaming in May. Richard Orbann, president of soon-to-close Garden State Park and a top official with Pennwood Racing, will take over for Bork.
Penn National Gaming has inked a deal with Playboy Enterprises to develop PlayboyRacingUSA.com, the company's online pari-mutuel wagering site. Operations could begin by the third quarter of 2001.
The World Series of Handicapping, a staple at Penn National Race Course since 1974, has been canceled this year due to an insufficient number of entries.
Zippy Chippy, the maiden who recently lost his 89th race at Penn National Race Course, will go up against a Standardbred pacer on March 17 at Freehold Raceway, a New Jersey harness track. Last year, Zippy Chippy lost a match race with a minor-league baseball player.
Zippy Chippy, owner-trainer Felix Monserrate's 10-year-old who is winless in 88 career starts, has been installed at 8-1 morning-line odds in his return Friday at Penn National Racecourse. The hapless horse is one of seven horses entered in the first race on the track's nine-race program that gets underway at 7:20 p.m. (EST).
Penn National Gaming reported triple digit increases in revenue and earnings for the fourth quarter ending Dec. 31. Slot machines at Charles Town Races and two Mississippi casinos fueled the growth.
Weather conditions forced five tracks -- Turfway Park, Hawthorne Race Course, Mountaineer Park, Charles Town, and Penn National Race Course -- to cancel racing again on Friday. Friday's cancellation marks the seventh time in just over a week Turfway has canceled racing due to weather and Hawthorne's fifth such cancellation. Charles Town, Mountaineer and Penn National each have lost all or part of three cards recently.
Revenue shortfalls at two Mississippi casinos and from Charles Town Race's slot machines are expected to give Penn National a soft fourth quarter.
CIBC World Markets initiated coverage of Churchill Downs Inc. because of the company's growth potential. The investment bank also released an analysis of the racing industry.
The U.S. attorney's office for the Middle District of Pennsylvania has announced that seven of nine individuals charged with fixing races at Penn National Racecourse have agreed to plead guilty to the charges.
Churchill Downs reports strong third quarter revenue and earnings gains, but warns the gains could be offset by the end of the year. Penn National also reports strong revenue and earnings.
The jockeys and horse owners charged with race-fixing at Penn National Race Course pleaded innocent Tuesday to the federal charges, the Associated Press reported.
Formal bidding on New York City Off-Track Betting Corp. began Thursday. Organizations have until Nov. 10 to submit a formal bid for the nation's most lucrative OTB franchise.
Two owners and seven jockeys were indicted Wednesday for allegedly fixing 15 races at Penn National between January and May. If convicted, they face up to five years in prison and fines up to $250,000.
The West Virginia Lottery Commission granted 500 more slot machines to Penn National Gaming, which will install the machines at Charles Town Races.
A special committee will decide which New York City Off-Track Betting suitors can formally bid to purchase the OTB franchise. New York City Mayor Rudolph Guliani is expected to appoint the committee by the end of the week.
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