Gaming And Leisure Properties Raises Offer For Real Estate Assets Of Pinnacle

(RTTNews) - Gaming and Leisure Properties Inc. (GLPI) announced a revised proposal to acquire the real estate assets of Pinnacle Entertainment, Inc. (PNK). Under the new proposal, Pinnacle shareholders would receive a fixed exchange ratio of 0.85 GLPI common shares per Pinnacle share for the real estate assets, which is a 54% increase over the previously announced exchange ratio of 0.5517 on March 9.

Gaming and Leisure Properties has proposed that Pinnacle's operating business would be spun off into a separately traded public company and its remaining real estate assets would be merged into Gaming and Leisure Properties.

The revised offer values real estate assets of Pinnacle at over $31.50 per Pinnacle share. Pinnacle shareholders would also continue to receive one share of the separately traded public company from the Pinnacle's operating business. The total implied value would be approximately $47.50 per share.

Pro forma for the transaction, Pinnacle shareholders would own 100% of the separately traded public company and an approximately 28% equity interest in an enlarged Gaming and Leisure Properties.