he investment is in the form of a private placement of approximately 6.9 million shares of common stock for total proceeds of approximately us$ 31 million. The private placement is subject to closing conditions and is expected to close next August 17. The investment was led by a large prominent mutual fund. No warrants will be issued in connection with the financing.
The company expects to use proceeds from this financing, as well proceeds from the anticipated sale of its Table Games Division, to repay debt and for working capital purposes.
The shares of common stock to be sold in the private placement have not been registered under the Securities Act of 1933, as amended, or state securities laws and may not be offered or sold in the United States absent registration with the Securities and Exchange Commission ("SEC") or an applicable exemption from the registration requirements.
The shares were offered and will be sold only to a limited number of accredited investors. The company has agreed to file a registration statement with the SEC covering the resale of the common stock issued in the private placement.