|
Delaware
(State or Other Jurisdiction of
Incorporation or Organization) |
| |
7011
(Primary Standard Industrial
Classification Code Number) |
| |
88-2870098
(I.R.S. Employer
Identification No.) |
|
|
Copies to:
|
| |||
|
Sony Ben-Moshe, Esq.
Senet Bischoff, Esq. John Slater, Esq. Latham & Watkins LLP 1271 Avenue of the Americas New York, NY 10020 (212) 906-1200 |
| |
Oscar David, Esq.
Timothy Kincaid, Esq. Michael Blankenship, Esq. Winston & Strawn LLP 35 W. Wacker Drive Chicago, IL 60601 (312) 558-5600 |
|
|
Large accelerated filer
☐
|
| |
Accelerated filer
☐
|
|
|
Non-accelerated filer
☒
|
| |
Smaller reporting company
☒
|
|
| | | |
Emerging growth company
☒
|
|
| | |
Per Class A-1 Interest
|
| |
Total
|
| ||||||
Number of shares sold
|
| | | | | | | | | | | | |
Initial public offering price
|
| | | $ | 250 | | | | | $ | | | |
Subordinated loan(1)
|
| | | $ | 24,750 | | | | | $ | | | |
Placement agent fees(2)
|
| | | $ | | | | | $ | | | ||
Proceeds to us, before expenses
|
| | | $ | | | | | $ | | |
| | |
Per Class A-2 Interest
|
| |
Total
|
| ||||||
Number of shares sold
|
| | | | | | | | | | | | |
Initial public offering price
|
| | | $ | 2,500 | | | | | $ | | | |
Subordinated loan(1)
|
| | | $ | 22,500 | | | | | $ | | | |
Placement agent fees(2)
|
| | | $ | | | | | $ | | | ||
Proceeds to us, before expenses
|
| | | $ | | | | | $ | | |
| | |
Per Class A-3 Interest
|
| |
Total
|
| ||||||
Number of shares sold
|
| | | | | | | | | | | | |
Initial public offering price
|
| | | $ | 5,000 | | | | | $ | | | |
Subordinated loan(1)
|
| | | $ | 20,000 | | | | | $ | | | |
Placement agent fees(2)
|
| | | $ | | | | | $ | | | ||
Proceeds to us, before expenses
|
| | | $ | | | | | $ | | |
| | |
Per Class A-4 Interest
|
| |
Total
|
| ||||||
Number of shares sold
|
| | | | | | | | | | | | |
Initial public offering price
|
| | | $ | 25,000 | | | | | $ | | | |
Subordinated loan(1)
|
| | | $ | 0 | | | | | $ | | | |
Placement agent fees(2)
|
| | | $ | | | | | $ | | | ||
Proceeds to us, before expenses
|
| | | $ | | | | | $ | | |
| | | | | iii | | | |
| | | | | 1 | | | |
| | | | | 31 | | | |
| | | | | 37 | | | |
| | | | | 47 | | | |
| | | | | 88 | | | |
| | | | | 91 | | | |
| | | | | 94 | | | |
| | | | | 95 | | | |
| | | | | 97 | | | |
| | | | | 99 | | | |
| | | | | 100 | | | |
| | | | | 108 | | | |
| | | | | 126 | | | |
| | | | | 149 | | | |
| | | | | 155 | | | |
| | | | | 157 | | | |
| | | | | 161 | | | |
| | | | | 165 | | | |
| | | | | 167 | | | |
| | | | | 171 | | | |
| | | | | 173 | | | |
| | | | | 178 | | | |
| | | | | 179 | | | |
| | | | | 185 | | | |
| | | | | 188 | | | |
| | | | | 190 | | | |
| | | | | 190 | | | |
| | | | | 190 | | | |
| | | | | F-1 | | |
($ in MM)
|
| |
Scenario
#1 |
| |
Scenario
#2 |
| |
Scenario
#3 |
| |
Scenario
#4 |
| ||||||||||||
Slot Machines
|
| | | | 3,400 | | | | | | 3,400 | | | | | | 3,400 | | | | | | 3,400 | | |
Slots WPUPD
|
| | | $ | 350 | | | | | $ | 400 | | | | | $ | 450 | | | | | $ | 500 | | |
Slots AGR
|
| | | $ | 434 | | | | | $ | 496 | | | | | $ | 558 | | | | | $ | 621 | | |
Table Games
|
| | | | 173 | | | | | | 173 | | | | | | 173 | | | | | | 173 | | |
Table Games WPUPD
|
| | | $ | 3,500 | | | | | $ | 4,000 | | | | | $ | 4,500 | | | | | $ | 4,500 | | |
Table Games AGR
|
| | | $ | 221 | | | | | $ | 253 | | | | | $ | 284 | | | | | $ | 284 | | |
Gaming AGR
|
| | | $ | 655 | | | | | $ | 749 | | | | | $ | 843 | | | | | $ | 905 | | |
Hotel ADR
|
| | | | 250 | | | | | | 300 | | | | | | 350 | | | | | | 400 | | |
Rooms
|
| | | | 500 | | | | | | 500 | | | | | | 500 | | | | | | 500 | | |
Occupancy
|
| | | | 65.0% | | | | | | 70.0% | | | | | | 75.0% | | | | | | 80.0% | | |
Hotel Room Revenue
|
| | | $ | 30 | | | | | $ | 38 | | | | | $ | 48 | | | | | $ | 58 | | |
AGR Pull-through(1)
|
| | | $ | 47 | | | | | $ | 51 | | | | | $ | 55 | | | | | $ | 58 | | |
Hospitality AGR
|
| | | $ | 77 | | | | | $ | 89 | | | | | $ | 103 | | | | | $ | 117 | | |
Percentage of Gaming AGR
|
| | | | 12.5% | | | | | | 15.0% | | | | | | 17.5% | | | | | | 20.0% | | |
F&B AGR
|
| | | $ | 82 | | | | | $ | 112 | | | | | $ | 147 | | | | | $ | 181 | | |
Total AGR
|
| | | $ | 814 | | | | | $ | 951 | | | | | $ | 1,093 | | | | | $ | 1,202 | | |
| | |
Comparable Properties for 2023(2)
|
| |||||||||||||||||||||
($ in MM)
|
| |
MGM
National Harbor |
| |
Encore
Boston |
| |
Hard Rock
Northern Indiana |
| |
Rivers
Casino Illinois |
| ||||||||||||
Slot Machines
|
| | | | 2,265 | | | | | | 2,550 | | | | | | 1,743 | | | | | | 1,516 | | |
WPUPD
|
| | | $ | 589 | | | | | $ | 448 | | | | | $ | 486 | | | | | $ | 598 | | |
Table Games
|
| | | | 209 | | | | | | 191 | | | | | | 76 | | | | | | 120 | | |
WPUPD
|
| | | $ | 4,572 | | | | | $ | 4,848 | | | | | $ | 4,202 | | | | | $ | 4,744 | | |
Total Gaming AGR
|
| | | $ | 834 | | | | | $ | 755 | | | | | $ | 426 | | | | | $ | 539 | | |
| | | | | | | | |
2023(2)
|
| |||||||||||||||
| | |
# Slots
|
| |
Admissions
|
| |
AGR
|
| |
WPU
|
| ||||||||||||
Ameristar East Chicago
|
| | | | 1,162 | | | | | | N/A | | | | | $ | 154 | | | | | $ | 362 | | |
Grand Victoria Casino
|
| | | | 762 | | | | | | 943 | | | | | $ | 119 | | | | | $ | 427 | | |
Hard Rock Northern Indiana
|
| | |
|
1,743
|
| | | |
|
N/A
|
| | | |
$
|
309
|
| | | |
$
|
486
|
| |
Harrah’s Joliet Casino & Hotel
|
| | | | 777 | | | | | | 738 | | | | | $ | 113 | | | | | $ | 400 | | |
Hollywood Casino Aurora
|
| | | | 832 | | | | | | 852 | | | | | $ | 77 | | | | | $ | 255 | | |
Hollywood Casino Joliet
|
| | | | 937 | | | | | | 683 | | | | | $ | 80 | | | | | $ | 233 | | |
Horseshoe Hammond
|
| | | | 1,688 | | | | | | N/A | | | | | $ | 235 | | | | | $ | 381 | | |
Rivers Casino Des Plaines
|
| | |
|
1,516
|
| | | |
|
3,088
|
| | | |
$
|
331
|
| | | |
$
|
598
|
| |
Average | | | | | 1,177 | | | | | | 1,261 | | | | | $ | 177 | | | | | $ | 393 | | |
Median | | | | | 1,050 | | | | | | 852 | | | | | $ | 136 | | | | | $ | 390 | | |
Top Performers – Averages | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | |
2023(2)
|
| |||||||||||||||
| | |
# Slots
|
| |
Admissions
|
| |
AGR
|
| |
WPU
|
| ||||||||||||
Top Performer Average
|
| | |
|
1,705
|
| | | |
|
2,230
|
| | | |
$
|
316
|
| | | |
$
|
519
|
| |
| | | | | | | | |
2023(2)
|
| |||||||||||||||
| | |
# Tables
|
| |
Admissions
|
| |
AGR
|
| |
WPU
|
| ||||||||||||
Ameristar East Chicago
|
| | | | 44 | | | | | | N/A | | | | | $ | 35 | | | | | $ | 2,168 | | |
Grand Victoria Casino
|
| | | | 45 | | | | | | 943 | | | | | $ | 31 | | | | | $ | 1,896 | | |
Hard Rock Northern Indiana
|
| | |
|
76
|
| | | |
|
N/A
|
| | | |
$
|
117
|
| | | |
$
|
4,202
|
| |
Harrah’s Joliet Casino & Hotel
|
| | | | 21 | | | | | | 738 | | | | | $ | 18 | | | | | $ | 2,344 | | |
Hollywood Casino Aurora
|
| | | | 34 | | | | | | 852 | | | | | $ | 20 | | | | | $ | 1,616 | | |
Hollywood Casino Joliet
|
| | | | 13 | | | | | | 683 | | | | | $ | 12 | | | | | $ | 2,367 | | |
Horseshoe Hammond
|
| | | | 81 | | | | | | N/A | | | | | $ | 68 | | | | | $ | 2,289 | | |
Rivers Casino Des Plaines
|
| | |
|
120
|
| | | |
|
3,088
|
| | | |
$
|
208
|
| | | |
$
|
4,744
|
| |
Average | | | | | 54 | | | | | | 1,261 | | | | | $ | 64 | | | | | $ | 2,703 | | |
Median | | | | | 45 | | | | | | 852 | | | | | $ | 33 | | | | | $ | 2,316 | | |
Top Performers – Averages | | | | | | | | | | | | | | | | | | | | | | | | | |
Top Performer Average
|
| | |
|
93
|
| | | |
|
2,230
|
| | | |
$
|
144
|
| | | |
$
|
4,365
|
| |
Date
|
| |
Key Milestone
|
|
September 9, 2023
|
| | Grand opening of our temporary casino | |
July 5, 2024
|
| | Tribune surrenders and vacates proposed site of our permanent resort and casino | |
July 5, 2024
|
| | Decommission and demolition of building on site of our permanent resort and casino | |
Q1 2025
|
| | Commencement of construction of our permanent resort and casino | |
Q3 2026
|
| | Grand opening of our permanent resort and casino(2) | |
Class of
Interests |
| |
Assumed
Aggregate Class A Distributions per Year, beginning in Year 3(1) |
| |
Balance of
corresponding Subordinated Loans Interest as of the Closing of this Offering |
| |
Illustrative Mathematical Examples, taking into
account compounding interest and assumed distribution amounts: Resulting Balance of Subordinated Loans per corresponding share at the End of Fiscal Year(1)(2) |
| |
Assumed
Payoff date taking into account compounding interest and assumed distribution amounts: |
| ||||||||||||||||||||||||||||||||||||
|
Year 1(1)
|
| |
Year 2(1)
|
| |
Year 3
|
| |
Year 4
|
| |
Year 5
|
| |
Year 6
|
| |
Year 7
|
| |||||||||||||||||||||||||||||
A-1
|
| | | $ | 0 | | | |
$24,750
|
| |
$27,587
|
| |
$30,749
|
| | | $ | 34,273 | | | | | $ | 38,202 | | | | | $ | 42,581 | | | | | $ | 47,461 | | | | | $ | 52,901 | | | |
N/A
|
|
| | $ | 25,000,000(3) | | | |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| | | $ | 31,668 | | | | | $ | 32,693 | | | | | $ | 33,836 | | | | | $ | 35,109 | | | | | $ | 36,528 | | | |
N/A
|
| ||
| | $ | 40,000,000(4) | | | |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| | | $ | 30,105 | | | | | $ | 29,388 | | | | | $ | 28,588 | | | | | $ | 27,697 | | | | | $ | 26,704 | | | |
Year 19
|
| ||
A-2
|
| | | $ | 0 | | | |
$22,500
|
| |
$25,079
|
| |
$27,954
|
| | | $ | 31,158 | | | | | $ | 34,729 | | | | | $ | 38,710 | | | | | $ | 43,147 | | | | | $ | 48,092 | | | |
N/A
|
|
| | $ | 25,000,000(3) | | | |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| | | $ | 28,553 | | | | | $ | 29,220 | | | | | $ | 29,965 | | | | | $ | 30,794 | | | | | $ | 31,719 | | | |
N/A
|
| ||
| | $ | 40,000,000(4) | | | |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| | | $ | 26,990 | | | | | $ | 25,915 | | | | | $ | 24,718 | | | | | $ | 23,383 | | | | | $ | 21,895 | | | |
Year 16
|
| ||
A-3
|
| | | $ | 0 | | | |
$20,000
|
| |
$22,292
|
| |
$24,848
|
| | | $ | 27,696 | | | | | $ | 30,870 | | | | | $ | 34,409 | | | | | $ | 38,353 | | | | | $ | 42,749 | | | |
N/A
|
|
| | $ | 25,000,000(3) | | | |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| | | $ | 25,091 | | | | | $ | 25,362 | | | | | $ | 25,663 | | | | | $ | 26,000 | | | | | $ | 26,375 | | | |
N/A
|
| ||
| | $ | 40,000,000(4) | | | |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| | | $ | 23,528 | | | | | $ | 22,056 | | | | | $ | 20,416 | | | | | $ | 18,589 | | | | | $ | 16,551 | | | |
Year 12
|
|
Class of Interests
|
| |
Assumed
Aggregate Class A Distributions per Year, beginning in Year 4(1) |
| |
Balance of
corresponding Subordinated Loans Interest as of the Closing of this Offering |
| |
Illustrative Mathematical Examples, taking into
account compounding interest and assumed distribution amounts: Resulting Balance of Subordinated Loans per corresponding share at the End of Fiscal Year(1)(2) |
| |
Assumed
Payoff date taking into account compounding interest and assumed distribution amounts: |
| |||||||||||||||||||||||||||||||||
|
Year 1(1)
|
| |
Year 2(1)
|
| |
Year 3
|
| |
Year 4
|
| |
Year 5
|
| |
Year 6
|
| |
Year 7
|
| ||||||||||||||||||||||||||
A-1
|
| | | $ | 0 | | | |
$24,750
|
| |
$27,587
|
| |
$30,749
|
| |
$34,273
|
| | | $ | 38,202 | | | | | $ | 42,581 | | | | | $ | 47,461 | | | | | $ | 52,901 | | | |
N/A
|
|
| | | | $ | 25,000,000(3) | | | |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| | | $ | 35,597 | | | | | $ | 37,072 | | | | | $ | 38,716 | | | | | $ | 40,549 | | | |
N/A
|
|
| | | | $ | 40,000,000(4) | | | |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| | | $ | 34,034 | | | | | $ | 33,767 | | | | | $ | 33,469 | | | | | $ | 33,137 | | | |
Year 32
|
|
A-2
|
| | | $ | 0 | | | |
$22,500
|
| |
$25,079
|
| |
$27,954
|
| |
$31,158
|
| | | $ | 34,729 | | | | | $ | 38,710 | | | | | $ | 43,147 | | | | | $ | 48,092 | | | |
N/A
|
|
| | | | $ | 25,000,000(3) | | | |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| | | $ | 32,124 | | | | | $ | 33,201 | | | | | $ | 34,402 | | | | | $ | 35,740 | | | |
N/A
|
|
| | | | $ | 40,000,000(4) | | | |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| | | $ | 30,561 | | | | | $ | 29,896 | | | | | $ | 29,154 | | | | | $ | 28,328 | | | |
Year 20
|
|
A-3
|
| | | $ | 0 | | | |
$20,000
|
| |
$22,292
|
| |
$24,848
|
| |
$27,696
|
| | | $ | 30,870 | | | | | $ | 34,409 | | | | | $ | 38,353 | | | | | $ | 42,749 | | | |
N/A
|
|
| | | | $ | 25,000,000(3) | | | |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| | | $ | 28,265 | | | | | $ | 28,900 | | | | | $ | 29,607 | | | | | $ | 30,396 | | | |
N/A
|
|
| | | | $ | 40,000,000(4) | | | |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| | | $ | 26,702 | | | | | $ | 25,595 | | | | | $ | 24,360 | | | | | $ | 22,985 | | | |
Year 16
|
|
Class of
Interests |
| |
Assumed
Aggregate Class A Distributions per Year, beginning in Year 5(1) |
| |
Balance of
corresponding Subordinated Loans Interest as of the Closing of this Offering |
| |
Illustrative Mathematical Examples, taking into
account compounding interest and assumed distribution amounts: Resulting Balance of Subordinated Loans per corresponding share at the End of Fiscal Year(1)(2) |
| |
Assumed
Payoff date taking into account compounding interest and assumed distribution amounts: |
| ||||||||||||||||||||||||||||||
|
Year 1(1)
|
| |
Year 2(1)
|
| |
Year 3
|
| |
Year 4
|
| |
Year 5
|
| |
Year 6
|
| |
Year 7
|
| |||||||||||||||||||||||
A-1
|
| | | $ | 0 | | | |
$24,750
|
| |
$27,587
|
| |
$30,749
|
| |
$34,273
|
| |
$38,202
|
| | | $ | 42,581 | | | | | $ | 47,461 | | | | | $ | 52,901 | | | |
N/A
|
|
| | | | $ | 25,000,000(3) | | | |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| | | $ | 39,976 | | | | | $ | 41,953 | | | | | $ | 44,156 | | | |
N/A
|
|
| | | | $ | 40,000,000(4) | | | |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| | | $ | 38,413 | | | | | $ | 38,647 | | | | | $ | 38,909 | | | |
N/A
|
|
A-2
|
| | | $ | 0 | | | |
$22,500
|
| |
$25,079
|
| |
$27,954
|
| |
$31,158
|
| |
$34,729
|
| | | $ | 38,710 | | | | | $ | 43,147 | | | | | $ | 48,092 | | | |
N/A
|
|
| | | | $ | 25,000,000(3) | | | |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| | | $ | 36,105 | | | | | $ | 37,638 | | | | | $ | 39,347 | | | |
N/A
|
|
| | | | $ | 40,000,000(4) | | | |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| | | $ | 34,542 | | | | | $ | 34,333 | | | | | $ | 34,100 | | | |
Year 31
|
|
A-3
|
| | | $ | 0 | | | |
$20,000
|
| |
$22,292
|
| |
$24,848
|
| |
$27,696
|
| |
$30,870
|
| | | $ | 34,409 | | | | | $ | 38,353 | | | | | $ | 42,749 | | | |
N/A
|
|
| | | | $ | 25,000,000(3) | | | |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| | | $ | 31,804 | | | | | $ | 32,844 | | | | | $ | 34,003 | | | |
N/A
|
|
| | | | $ | 40,000,000(4) | | | |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| |
Same as above
|
| | | $ | 30,241 | | | | | $ | 29,539 | | | | | $ | 28,756 | | | |
Year 21
|
|
|
Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and
assumed distribution amounts beginning Year 3 after our permanent resort and casino begins operations: |
| ||||||||||||||||||||||||||||||||||||||||||||||||
|
Assumed
Aggregate Class A Distributions per Year, beginning in Year 3 |
| |
Assumed Price
Paid in Connection with the Sale of the Company(1) |
| |
Assumed Total
Senior Indebtedness Outstanding of Bally’s Chicago OpCo at the Time of the Sale of the Company |
| |
Amount
Remaining After Payment of Senior Indebtedness Outstanding of Bally’s Chicago OpCo |
| |
Amount
Distributed to Bally’s Chicago, Inc.(2) |
| |
Assumed Total
Subordinated Loans Outstanding at the Time of the Sale of the Company(2) |
| |
Amount
Remaining After Payment of Subordinated Loans Outstanding |
| |
Amount
Distributed to Class A Interests |
| |
Average
Amount Distributed per Class A Interest(1) |
| ||||||||||||||||||||||||
|
$ 0
|
| | | $ | 1,200,000,000 | | | | | $ | 0 | | | | | $ | 1,200,000,000 | | | | | $ | 300,000,000 | | | | | $ | 117,291,297 | | | | | $ | 182,708,703 | | | | | $ | 182,708,703 | | | | | $ | 18,271 | | |
|
$25,000,000
|
| | | $ | 1,200,000,000 | | | | | $ | 0 | | | | | $ | 1,200,000,000 | | | | | $ | 300,000,000 | | | | | $ | 76,357,863 | | | | | $ | 223,642,137 | | | | | $ | 223,642,137 | | | | | $ | 22,364 | | |
|
$40,000,000
|
| | | $ | 1,200,000,000 | | | | | $ | 0 | | | | | $ | 1,200,000,000 | | | | | $ | 300,000,000 | | | | | $ | 51,797,803 | | | | | $ | 248,202,197 | | | | | $ | 248,202,197 | | | | | $ | 24,820 | | |
|
Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and
assumed distribution amounts beginning Year 4 after our permanent resort and casino begins operations: |
| ||||||||||||||||||||||||||||||||||||||||||||||||
|
Assumed
Aggregate Class A Distributions per Year, beginning in Year 4 |
| |
Assumed Price
Paid in Connection with the Sale of the Company(1) |
| |
Assumed Total
Senior Indebtedness Outstanding of Bally’s Chicago OpCo at the Time of the Sale of the Company |
| |
Amount
Remaining After Payment of Senior Indebtedness Outstanding of Bally’s Chicago OpCo |
| |
Amount
Distributed to Bally’s Chicago, Inc.(2) |
| |
Assumed Total
Subordinated Loans Outstanding at the Time of the Sale of the Company(2) |
| |
Amount
Remaining After Payment of Subordinated Loans Outstanding |
| |
Amount
Distributed to Class A Interests |
| |
Average
Amount Distributed per Class A Interest(1) |
| ||||||||||||||||||||||||
|
$ 0
|
| | | $ | 1,200,000,000 | | | | | $ | 0 | | | | | $ | 1,200,000,000 | | | | | $ | 300,000,000 | | | | | $ | 117,291,297 | | | | | $ | 182,708,703 | | | | | $ | 182,708,703 | | | | | $ | 18,271 | | |
|
$25,000,000
|
| | | $ | 1,200,000,000 | | | | | $ | 0 | | | | | $ | 1,200,000,000 | | | | | $ | 300,000,000 | | | | | $ | 86,410,079 | | | | | $ | 213,589,921 | | | | | $ | 213,589,921 | | | | | $ | 21,359 | | |
|
$40,000,000
|
| | | $ | 1,200,000,000 | | | | | $ | 0 | | | | | $ | 1,200,000,000 | | | | | $ | 300,000,000 | | | | | $ | 67,881,348 | | | | | $ | 232,118,652 | | | | | $ | 232,118,652 | | | | | $ | 23,212 | | |
|
Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and
assumed distribution amounts beginning Year 5 after our permanent resort and casino begins operations:: |
| ||||||||||||||||||||||||||||||||||||||||||||||||
|
Assumed
Aggregate Class A Distributions per Year, beginning in Year 5 |
| |
Assumed Price
Paid in Connection with the Sale of the Company(1) |
| |
Assumed Total
Senior Indebtedness Outstanding of Bally’s Chicago OpCo at the Time of the Sale of the Company |
| |
Amount
Remaining After Payment of Senior Indebtedness Outstanding of Bally’s Chicago OpCo |
| |
Amount
Distributed to Bally’s Chicago, Inc.(2) |
| |
Assumed Total
Subordinated Loans Outstanding at the Time of the Sale of the Company(2) |
| |
Amount
Remaining After Payment of Subordinated Loans Outstanding |
| |
Amount
Distributed to Class A Interests |
| |
Average
Amount Distributed per Class A Interest(1) |
| ||||||||||||||||||||||||
|
$ 0
|
| | | $ | 1,200,000,000 | | | | | $ | 0 | | | | | $ | 1,200,000,000 | | | | | $ | 300,000,000 | | | | | $ | 117,291,297 | | | | | $ | 182,708,703 | | | | | $ | 182,708,703 | | | | | $ | 18,271 | | |
|
$25,000,000
|
| | | $ | 1,200,000,000 | | | | | $ | 0 | | | | | $ | 1,200,000,000 | | | | | $ | 300,000,000 | | | | | $ | 95,428,582 | | | | | $ | 204,571,418 | | | | | $ | 204,571,418 | | | | | $ | 20,457 | | |
|
$40,000,000
|
| | | $ | 1,200,000,000 | | | | | $ | 0 | | | | | $ | 1,200,000,000 | | | | | $ | 300,000,000 | | | | | $ | 82,310,954 | | | | | $ | 217,689,046 | | | | | $ | 217,689,046 | | | | | $ | 21,769 | | |
| | |
Bally’s Chicago, Inc.
Pro Forma |
| |
Bally’s Chicago, Inc. Historical
|
| ||||||||||||||||||||||||||||||
| | |
Nine Months
ended September 30, |
| |
Year Ended
December 31, |
| |
Nine Months Ended
September 30, |
| |
Year Ended
December 31, |
| |
Period from
May 24, 2022 to December 31, |
| |||||||||||||||||||||
$ In thousands, except share and per
share data |
| |
2024
|
| |
2023
|
| |
2024
|
| |
2023
|
| |
2023
|
| |
2022
|
| ||||||||||||||||||
Summary Statements of Operations
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Revenue: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Gaming
|
| | | $ | | | | | $ | | | | | $ | 86,851 | | | | | $ | 6,493 | | | | | $ | 28,734 | | | | | $ | — | | | ||
Non-gaming
|
| | | | | | | | | | | | | | | | 9,786 | | | | | | 687 | | | | | | 3,443 | | | | | | — | | |
Total revenue
|
| | | | | | | | | | | | | | | | 96,637 | | | | | | 7,180 | | | | | | 32,177 | | | | | | — | | |
| | |
Bally’s Chicago, Inc.
Pro Forma |
| |
Bally’s Chicago, Inc. Historical
|
| ||||||||||||||||||||||||||||||
| | |
Nine Months
ended September 30, |
| |
Year Ended
December 31, |
| |
Nine Months Ended
September 30, |
| |
Year Ended
December 31, |
| |
Period from
May 24, 2022 to December 31, |
| |||||||||||||||||||||
$ In thousands, except share and per
share data |
| |
2024
|
| |
2023
|
| |
2024
|
| |
2023
|
| |
2023
|
| |
2022
|
| ||||||||||||||||||
Operating costs and expenses: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Gaming
|
| | | | | | | | | | | | | | | | 44,322 | | | | | | 3,022 | | | | | | 13,430 | | | | | | — | | |
Non-gaming
|
| | | | | | | | | | | | | | | | 5,928 | | | | | | 312 | | | | | | 2,138 | | | | | | — | | |
General and administrative
|
| | | | | | | | | | | | | | | | 45,398 | | | | | | 25,418 | | | | | | 36,441 | | | | | | 15,057 | | |
Management fees to Bally’s Corporation
|
| | | | | | | | | | | | | | | | 45,000 | | | | | | 5,659 | | | | | | 20,680 | | | | | | 424 | | |
Loss on sale-leaseback
|
| | | | | | | | | | | | | | | | 150,000 | | | | | | — | | | | | | — | | | | | | — | | |
Depreciation and
amortization |
| | | | | | | | | | | | | | | | 13,633 | | | | | | 1,420 | | | | | | 5,705 | | | | | | — | | |
Total operating costs and expenses
|
| | | | | | | | | | | | | | | | 304,281 | | | | | | 35,831 | | | | | | 78,394 | | | | | | 15,481 | | |
Loss from operations
|
| | | | | | | | | | | | | | | | (207,644) | | | | | | (28,651) | | | | | | (46,217) | | | | | | (15,481) | | |
Other income (expense): | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Interest income
|
| | | | | | | | | | | | | | | | 1,466 | | | | | | 2,084 | | | | | | 2,778 | | | | | | — | | |
Interest expense, net of amounts capitalized
|
| | | | | | | | | | | | | | | | (6,891) | | | | | | (10,514) | | | | | | (13,819) | | | | | | (2,031) | | |
Other non-operating income (expenses), net
|
| | | | | | | | | | | | | | | | — | | | | | | 893 | | | | | | 893 | | | | | | 414 | | |
Total other expense, net
|
| | | | | | | | | | | | | | | | (5,425) | | | | | | (7,537) | | | | | | (10,184) | | | | | | (1,617) | | |
Loss before provision for income taxes
|
| | | | | | | | | | | | | | | | (213,069) | | | | | | (36,188) | | | | | | (56,365) | | | | | | (17,098) | | |
Benefit for income taxes
|
| | | | | | | | | | | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Net loss
|
| | | | | | | | | | | | | | | | (213,069) | | | | | | (36,188) | | | | | | (56,365) | | | | | | (17,098) | | |
Net (loss) attributable to non-controlling interest
|
| | | | | | | | | | | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Net (loss) attributable to Bally’s
Chicago, Inc. |
| | | $ | | | | | $ | | | | | $ | (213,069) | | | | | $ | (36,188) | | | | | $ | (56,365) | | | | | $ | (17,098) | | | ||
Loss per share – basic and diluted
|
| | | | | | | | | | | | | | | $ | (2,130,690) | | | | | $ | (361,880) | | | | | $ | (563,650) | | | | | $ | (170,980) | | |
Weighted average common
shares outstanding, basic and diluted |
| | | | | | | | | | | | | | | | 100 | | | | | | 100 | | | | | | 100 | | | | | | 100 | | |
Class A-1, Class A-2, Class A-3,
Class A-4 Interests, basic and diluted loss per share |
| | | $ | | | | | $ | | | | | | | | | | | | | | | | | | | | | | | | | | | ||
Weighted average Class A-1, Class A-2, Class A-3, Class A-4 Interests outstanding, basic and diluted
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | |
Bally’s Chicago, Inc.
Pro Forma |
| |
Bally’s Chicago, Inc. Historical
|
| ||||||||||||||||||
| | |
As of September 30,
|
| |
As of September 30,
|
| |
As of December 31,
|
| |||||||||||||||
$ In thousands
|
| |
2024
|
| |
2024
|
| |
2023
|
| |
2022
|
| ||||||||||||
Summary Balance Sheet Data | | | | | | | | | | | | | | | | | | | | | | | | | |
Cash
|
| | | $ | | | | | $ | 17,557 | | | | | $ | 14,027 | | | | | $ | 1,092 | | | |
Total assets
|
| | | | | | | | | | 586,255 | | | | | | 737,267 | | | | | | 286,868 | | |
Total current liabilities
|
| | | | | | | | | | 33,440 | | | | | | 600,789 | | | | | | 28,045 | | |
Total liabilities
|
| | | | | | | | | | 871,813 | | | | | | 809,756 | | | | | | 240,501 | | |
Redeemable noncontrolling interest
|
| | | | | | | | | | — | | | | | | — | | | | | | — | | |
Total stockholder’s deficit
|
| | | | | | | | | | (285,558) | | | | | | (72,489) | | | | | | 46,367 | | |
| | |
Nine Months ended
September 30, |
| |
Year ended
December 31, |
| |
Period from
May 24, 2022 to December 31 |
| |||||||||||||||
$ In thousands
|
| |
2024
|
| |
2023
|
| |
2023
|
| |
2022
|
| ||||||||||||
Summary Statements of Cash Flows Data: | | | | | | | | | | | | | | | | | | | | | | | | | |
Net cash used in operating activities
|
| | | $ | (47,218) | | | | | $ | (34,162) | | | | | $ | (47,927) | | | | | $ | (17,704) | | |
Net cash used in investing activities
|
| | | | (110,253) | | | | | | (163,664) | | | | | | (326,428) | | | | | | (208,511) | | |
Net cash provided by financing activities
|
| | | | 103,723 | | | | | | 265,974 | | | | | | 444,568 | | | | | | 227,307 | | |
| | |
Nine Months ended
September 30, |
| |
Year ended
December 31, |
| |
Period from
May 24, 2022 to December 31 |
| |||||||||||||||
$ In thousands
|
| |
2024
|
| |
2023
|
| |
2023
|
| |
2022
|
| ||||||||||||
Other Data: | | | | | | | | | | | | | | | | | | | | | | | | | |
Temporary Casino Adjusted EBITDAR
|
| | | $ | 8,877 | | | | | $ | 3,540 | | | | | $ | 7,721 | | | | | $ | — | | |
Permanent Casino Loss from Operations
|
| | | $ | (156,591) | | | | | $ | (788) | | | | | $ | (2,227) | | | | | $ | — | | |
| | |
As of September 30, 2024
|
| |||||||||||||||
| | |
Actual
|
| |
Pro Forma
|
| |
Pro
Forma As Adjusted |
| |||||||||
| | |
(in thousands, except share data)
|
| |||||||||||||||
Cash and cash equivalents
|
| | | $ | 17,557 | | | | | $ | | | | | $ | | | ||
Debt: | | | | | | | | | | | | | | | | | | | |
Pre-IPO Intercompany Notes
|
| | | | 631,040 | | | | | | | | | | | | | | |
Long-term lease liabilities
|
| | | | 207,333 | | | | | | | | | | | | | | |
IPO Expenses Note
|
| | | | — | | | | | | | | | | | | | | |
Class A-1 Subordinated Loans
|
| | | | — | | | | | | | | | | | | | | |
Class A-2 Subordinated Loans
|
| | | | — | | | | | | | | | | | | | | |
Class A-3 Subordinated Loans
|
| | | | — | | | | | ||||||||||
Total debt
|
| | | | 871,813 | | | | | | | | | | | | | | |
Equity: | | | | | | | | | | | | | | | | | | | |
Common stock
|
| | | | 100 | | | | | | — | | | | | | — | | |
Stock, $0.001 par value; shares authorized, actual; shares authorized, pro forma, as adjusted:
|
| | | | | | | | | | | | | | | | | | |
Class A-1 Interests; 0 shares designated, issued and outstanding, actual;
500 shares authorized, pro forma, as adjusted |
| | | | — | | | | | | | | | | | | | | |
Class A-2 Interests; 0 shares designated, issued and outstanding, actual; 1,000 shares authorized, pro forma, as adjusted
|
| | | | — | | | | | | | | | | | | | | |
Class A-3 Interests; 0 shares designated, issued and outstanding, actual; 1,000 shares authorized, pro forma, as adjusted
|
| | | | — | | | | | | | | | | | | | | |
Class A-4 Interests; 0 shares designated, issued and outstanding, actual; 7,500 shares authorized, pro forma, as adjusted
|
| | | | — | | | | | | | | | | | | | | |
Class B Interests; 0 shares designated, issued and outstanding, actual; 30,000 shares authorized, pro forma, as adjusted
|
| | | | — | | | | | | | | | | | | | | |
| | |
As of September 30, 2024
|
| ||||||||||||
| | |
Actual
|
| |
Pro Forma
|
| |
Pro
Forma As Adjusted |
| ||||||
| | |
(in thousands, except share data)
|
| ||||||||||||
Additional paid-in capital
|
| | | | 974 | | | |
|
| |
|
| |||
Accumulated deficit
|
| | | | (286,532) | | | | | | | | | | | |
Total stockholders’ (deficit) equity
|
| | | | (285,558) | | | | | | | | | | | |
Total capitalization
|
| | | $ | 586,255 | | | | | $ | | | | | | |
|
| | |
Class A-1
Interest |
| |
Class A-2
Interest |
| |
Class A-3
Interest |
| |
Class A-4
Interest |
| ||||||||||||
Assumed aggregate offering proceeds
|
| | | $ | | | | | $ | | | | | $ | | | | | $ | | | ||||
Assumed initial public offering price per share
|
| | | $ | | | | | | $ | | | | | $ | | | | | $ | | | |||
Pro forma net tangible book value (deficit) per share as of September 30, 2024
|
| | | | | | | | | | | | | | | | | | | | | | | | |
Increase in pro forma net tangible book value (deficit) per
share attributable to this offering and the concurrent private placements |
| | | | | | | | | | | | | | | | | | | | | | | | |
Pro forma as adjusted net tangible book value per share after this
offering and the concurrent private placements |
| | | | | | | | | | | | | | | | | | | | | | | | |
Dilution per share to investors in this offering and the concurrent
private placements |
| | | $ | | | | | | $ | | | | | $ | | | | | $ | | | |
| | |
Bally’s
Chicago, Inc. |
| |
Transaction
Accounting Adjustments |
| |
Note
|
| |
Offering
Adjustments |
| |
Note
|
| |
Pro
Forma |
| | ||||||||||||||
Current assets | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | ||
Cash
|
| | | $ | 17,557 | | | | | | | | | | | | | | $ | | | |
(b)
|
| | | $ | | | | ||||
Accounts receivable
|
| | | | 1,857 | | | | | | — | | | | | | | | | — | | | | | | | | | | | | | ||
Inventory
|
| | | | 2,086 | | | | | | — | | | | | | | | | — | | | | | | | | | | | | | ||
Due from related party (Bally’s Corporation)
|
| | | | 974 | | | | | | — | | | | | | | | | — | | | | | | | | | | | | | ||
Prepaid expenses and other current assets
|
| | | | 5,062 | | | | | | | | | | | | | | | | | | | | | | | | — | | | | | |
Total current assets
|
| | | | 27,536 | | | | | | — | | | | | | | | | — | | | | | | | | | | | | | ||
Property and equipment, net
|
| | | | 156,481 | | | | | | — | | | | | | | | | — | | | | | | | | | | | | | ||
Right of use assets, net
|
| | | | 210,962 | | | | | | — | | | | | | | | | — | | | | | | | | | | | | | ||
Intangible assets
|
| | | | 186,250 | | | | | | — | | | | | | | | | — | | | | | | | | | | | | | ||
Other assets
|
| | | | 5,026 | | | | | | — | | | | | | | | | | | | |
(f)
|
| | | | | | | | ||
Total assets
|
| | | $ | 586,255 | | | | | | — | | | | | | | | $ | | | | | | | | $ | | | | | | ||
Liabilities and Stockholder’s deficit | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | ||
Current portion of lease liabilities
|
| | | | 4,517 | | | | | | — | | | | | | | | | — | | | | | | | | | | | | | ||
Accounts payable
|
| | | | 8,490 | | | | | | — | | | | | | | | | — | | | | | | | | | | | | | ||
Accrued liabilities
|
| | | | 20,042 | | | | | | — | | | | | | | | | — | | | | | | | | | | | | | ||
Promissory notes to related party (Bally’s Chicago HoldCo)
|
| | | | — | | | | | | | | | | | | | | | | | | |
(c)
|
| | | | | | | | ||
Promissory notes to related party (Bally’s Corporation)
|
| | | | — | | | | | | | | | |
(a)
|
| | | | | | | | | | | | | | | | | ||
Due to related party (Bally’s Corporation)
|
| | | | 391 | | | | | | | | | | | | | | | | | | | | | | | | | | | | ||
Due to related party (Bally’s Chicago HoldCo)
|
| | | | — | | | | | | | | |
(a)(d)
|
| | | | | | |
(b)(c)
|
| | | | | | | |||||
Total current liabilities
|
| | | | 33,440 | | | | | | | | | | | | | | | | | | | | | | | | | | | | ||
Long-term portion of financing obligation
|
| | | | 207,333 | | | | | | | | | | | | | | | — | | | | | | | | | | | | | ||
Long-term portion of lease liabilities
|
| | | | — | | | | | | | | | | | | | | | — | | | | | | | | | | | | | ||
Long–term promissory notes to related party
|
| | | | 631,040 | | | | | | | | | | | | | | | | | | |
(c)
|
| | | | | | | |||
Total liabilities
|
| | | | 871,813 | | | | | | | | | | | | | | | | | | | | | | | | | | | | ||
Commitments and contingencies | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | ||
Redeemable noncontrolling interest
|
| | | | | | | | | | | | | |
(d)
|
| | | | | | | | | | | | |||||||
Stockholder’s deficit: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | ||
Common Stock, $0.01 par value, 100 shares authorized, issued and
outstanding |
| | |
|
—
|
| | | | | | | | |
(e)
|
| | | | | | | | | | | | |||||||
Class B Interests, par value 0.0001 per 30,000 shares authorized, issued, and outstanding as of September 30, 2024
|
| | |
|
—
|
| | | | | | | | |
(e)
|
| | | | — | | | | | | | | |||||||
Class A-1 Interests, par value 0.0001 per shares authorized, issued, and outstanding as of September 30, 2024
|
| | |
|
—
|
| | | | | — | | | | | | | | | | | | |
(b)
|
| | | | | | | | ||
Class A-2 Interests, par value 0.0001 per shares authorized, issued, and outstanding as of September 30, 2024
|
| | |
|
—
|
| | | | | — | | | | | | | | | | | | |
(b)
|
| | | | | | | | ||
Class A-3 Interests, par value 0.0001 per shares authorized, issued, and outstanding as of September 30, 2024
|
| | |
|
—
|
| | | | | | | | | | | | | | | | | |
(b)
|
| | | | | | | | ||
Class A-4 Interests, par value 0.0001 per shares authorized, issued, and outstanding as of September 30, 2024
|
| | | | — | | | | | | — | | | | | | | | | | | | |
(b)
|
| | | | | | | | ||
Stockholders’ note
|
| | | | — | | | | | | | | | |
(d)
|
| | | | — | | | | | | | | | | | | | ||
Additional paid-in-capital
|
| | | | 974 | | | | | | — | | | | | | | | | | | | |
(b)(f)
|
| | | | | | | | ||
Accumulated deficit
|
| | | | (286,532) | | | | | | — | | | | | | | | | — | | | | | | | | | | | | | ||
Total stockholder’s deficit
|
| | | | (285,558) | | | | | | | | | | | | | | | | | | | | | | | | | | | | ||
Total liabilities, redeemable noncontrolling interest and stockholder’s
deficit |
| | | $ | 586,255 | | | | | $ | — | | | | | | | | $ | | | | | | | | | | | | |
| | |
As Reported
|
| |
Transaction
Accounting Adjustments |
| |
Note
|
| |
Offering
Adjustments |
| |
Note
|
| |
Proforma
|
| ||||||||||||
Revenue | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Gaming
|
| | | $ | 86,851 | | | | | | — | | | | | | | | | — | | | | | | | | | | | |
Non-gaming
|
| | | | 9,786 | | | | | | — | | | | | | | | | — | | | | | | | | | | | |
Total revenue
|
| | | | 96,637 | | | | | | — | | | | | | | | | — | | | | | | | | | | | |
Operating costs and expenses: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Gaming
|
| | | | 44,322 | | | | | | — | | | | | | | | | — | | | | | | | | | | | |
Non-gaming
|
| | | | 5,928 | | | | | | — | | | | | | | | | — | | | | | | | | | | | |
General and administrative
|
| | | | 45,398 | | | | | | — | | | | | | | | | — | | | | | | | | | | | |
Management fees to Bally’s Corporation
|
| | | | 45,000 | | | | | | — | | | | | | | | | — | | | | | | | | | | | |
Depreciation and amortization
|
| | | | 13,633 | | | | | | — | | | | | | | | | — | | | | | | | | | | | |
Loss on Sale-leaseback
|
| | | | 150,000 | | | | | | | | | | | | | | | | | | | | | | | | | ||
Total operating costs and expenses
|
| | | | 304,281 | | | | | | — | | | | | | | | | — | | | | | | | | | | | |
Loss from operations
|
| | | | (207,644) | | | | | | — | | | | | | | | | — | | | | | | | | | | | |
Other income (expenses):
|
| | | | | | | | | | — | | | | | | | | | — | | | | | | | | | | | |
Interest income
|
| | | | 1,466 | | | | | | — | | | | | | | | | — | | | | | | | | | | | |
Interest expense, net of amounts capitalized
|
| | | | (6,891) | | | | | | — | | | | | | | | | — | | | | | | | | | | | |
Other non-operating income (expenses), net
|
| | | | — | | | | | | — | | | | | | | | | — | | | | | | | | | | | |
Total other expense, net
|
| | | | (5,425) | | | | | | — | | | | | | | | | — | | | | | | | | | | | |
Loss before provision for income taxes
|
| | | | (213,069) | | | | | | — | | | | | | | | | — | | | | | | | | | | | |
Benefit for income taxes
|
| | | | — | | | | | | — | | | | | | | | | — | | | | | | | | | | | |
Net loss
|
| | | $ | (213,069) | | | | | | — | | | | | | | | | — | | | | | | | | | | | |
Net (loss) attributable to non-controlling interest
|
| | | | — | | | | | | | | | |
(g)
|
| | | | | | | | | | | | | | | |
Net (loss) attributable to Bally’s Chicago, Inc.
|
| | | $ | (213,069) | | | | | | | | | | | | | | | | | | | | | | | | | | |
Basic and diluted loss per share
|
| | | $ | (2,130,690) | | | | | | | | | |
(h)
|
| | | | | | | | | | | | | | | |
Weighted average common shares outstanding, basic and diluted
|
| | | | 100 | | | | | | | | | |
(h)
|
| | | | | | | | | | | | | | | |
Class A-1, Class A-2, Class A-3, Class A-4 Interests, basic and diluted loss per share
|
| | | | — | | | | | | | | | | | | | | | | | | |
(h)
|
| | | | | | |
Weighted average Class A-1, Class A-2, Class A-3,
Class A-4 Interests outstanding, basic and diluted |
| | | | — | | | | | | | | | | | | | | | | | | |
(h)
|
| | | | | | |
| | |
As Reported
|
| |
Transaction
Accounting Adjustments |
| |
Note
|
| |
Offering
Adjustments |
| |
Note
|
| |
Pro
Forma |
| ||||||||||||||||||
Revenue | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Gaming
|
| | | $ | 28,734 | | | | | | — | | | | | | | | | | | | — | | | | | | | | | | | | | | |
Non-gaming
|
| | | | 3,433 | | | | | | — | | | | | | | | | | | | — | | | | | | | | | | | | | | |
Total revenue
|
| | | | 32,177 | | | | | | — | | | | | | | | | | | | — | | | | | | | | | | | | | | |
Operating costs and expenses: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Gaming
|
| | | | 13,430 | | | | | | — | | | | | | | | | | | | — | | | | | | | | | | | | | | |
Non-gaming
|
| | | | 2,138 | | | | | | — | | | | | | | | | | | | — | | | | | | | | | | | | | | |
General and administrative
|
| | | | 36,441 | | | | | | — | | | | | | | | | | | | — | | | | | | | | | | | | | | |
Management fees to Bally’s Corporation
|
| | | | 20,680 | | | | | | — | | | | | | | | | | | | — | | | | | | | | | | | | | | |
Depreciation and amortization
|
| | | | 5,705 | | | | | | — | | | | | | | | | | | | — | | | | | | | | | | | | | | |
Total operating costs and expenses
|
| | | | 78,394 | | | | | | — | | | | | | | | | | | | — | | | | | | | | | | | | | | |
Loss from operations
|
| | | | (46,217) | | | | | | — | | | | | | | | | | | | — | | | | | | | | | | | | | | |
Other income (expenses): | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Interest income
|
| | | | 2,778 | | | | | | — | | | | | | | | | | | | — | | | | | | | | | | | | | | |
Interest expense, net of amounts capitalized
|
| | | | (13,819) | | | | | | — | | | | | | | | | | | | — | | | | | | | | | | | | | | |
Other non-operating income (expenses), net
|
| | | | 893 | | | | | | — | | | | | | | | | | | | — | | | | | | | | | | | | | | |
Total other expense, net
|
| | | | (10,148) | | | | | | — | | | | | | | | | | | | — | | | | | | | | | | | | | | |
Loss before provision for income taxes
|
| | | | (56,365) | | | | | | — | | | | | | | | | | | | — | | | | | | | | | | | | | | |
Benefit for income taxes
|
| | | | — | | | | | | — | | | | | | | | | | | | — | | | | | | | | | | | | | | |
Net loss
|
| | | $ | (56,365) | | | | | | — | | | | | | | | | | | | — | | | | | | | | | | | | | | |
Net (loss) attributable to non-controlling interest
|
| | | | — | | | | | | | | | | | | (g) | | | | | | | | | | | | | | | | | | | | |
Net (loss) attributable to Bally’s Chicago,
Inc. |
| | | $ | (56,365) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Basic and diluted loss per share
|
| | | $ | (563,650) | | | | | | | | | | | | (h) | | | | | | | | | | | | | | | | | | | | |
Weighted average common shares outstanding, basic and diluted
|
| | | | 100 | | | | | | | | | | | | (h) | | | | | | | | | | | | | | | | | | | | |
Class A-1, Class A-2, Class A-3, Class A-4 Interests, basic and diluted loss per share
|
| | | | — | | | | | | | | | | | | | | | | | $ | | | | | | (h) | | | | | | | | | |
Weighted average Class A-1, Class A-2, Class A-3, Class A-4 Interests outstanding, basic and diluted
|
| | | | — | | | | | | | | | | | | | | | | | | | | | | | | (h) | | | | | | | | |
($ in thousands)
|
| |
Pro forma
Balance Sheet as of September 30, 2024 |
| |
All Class
A-1 Interests(1) |
| |
All Class
A-4 Interests(2) |
| |||||||||
Cash
|
| | | $ | | | | | $ | | | | | $ | | | |||
Total assets
|
| | | $ | | | | | $ | | | | | | | | | ||
Subordinated debt
|
| | | $ | | | | | $ | | | | | | | — | | | |
Total liabilities
|
| | | $ | | | | | $ | | | | | $ | | | |||
Total stockholder’s deficit
|
| | | $ | | | | | $ | | | | | $ | | | |
Dollar amount is presented in thousands except share and per
share data. |
| |
Nine Months Ended
September 30, 2024 |
| |
Twelve Months Ended
December 31, 2023 |
| ||||||
Net loss attributable to Bally’s Chicago, Inc.
|
| | | $ | | | | | $ | | | ||
Weighted average Class A Interests outstanding, basic and diluted
|
| | | | | | | | | | | | |
Net Loss per Class A Interest, basic and diluted
|
| | | $ | | | | | $ | | | |
| | |
Three Months Ended
September 30, |
| |
Nine Months Ended
September 30, |
| ||||||||||||||||||
(in thousands)
|
| |
2024
|
| |
2023
|
| |
2024
|
| |
2023
|
| ||||||||||||
Revenue | | | | | | | | | | | | | | | | | | | | | | | | | |
Temporary Casino
|
| | | $ | 32,471 | | | | | $ | 7,180 | | | | | $ | 96,637 | | | | | $ | 7,180 | | |
Permanent Casino
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Total revenue
|
| | | $ | 32,471 | | | | | $ | 7,180 | | | | | $ | 96,637 | | | | | $ | 7,180 | | |
Permanent Casino Loss from Operations
|
| | | $ | (153,388) | | | | | $ | (788) | | | | | $ | (156,591) | | | | | $ | (788) | | |
Temporary Casino Adjusted EBITDAR(1)
|
| | | $ | 3,191 | | | | | $ | 3,540 | | | | | $ | 8,877 | | | | | $ | 3,540 | | |
Temporary Casino Operating costs and expenses:
|
| | | | | | | | | | | | | | | | | | | | | | | | |
Depreciation and amortization
|
| | | | (4,563) | | | | | | (1,419) | | | | | | (13,633) | | | | | | (1,420) | | |
Expansion costs(2)
|
| | | | — | | | | | | (7,030) | | | | | | (112) | | | | | | (22,259) | | |
Management fees to Bally’s Corporation
|
| | | | (15,000) | | | | | | (5,000) | | | | | | (45,000) | | | | | | (5,000) | | |
Total Temporary Casino operating costs and
expenses |
| | | | (16,372) | | | | | | (9,909) | | | | | | (49,868) | | | | | | (25,139) | | |
Total other expense, net(3)
|
| | | | (1,479) | | | | | | (2,085) | | | | | | (5,425) | | | | | | (7,537) | | |
Other adjustments
|
| | | | (17) | | | | | | (2,955) | | | | | | (1,185) | | | | | | (2,724) | | |
Total Net loss
|
| | | $ | (171,256) | | | | | $ | (15,737) | | | | | $ | (213,069) | | | | | $ | (36,188) | | |
(in thousands)
|
| |
Year Ended
December 31, 2023 |
| |
Period from
May 24, 2022 (date of inception) to December 31, 2022 |
| ||||||
Revenue | | | | | | | | | | | | | |
Temporary Casino
|
| | | $ | 32,177 | | | | | $ | — | | |
Permanent Casino
|
| | | | — | | | | | | — | | |
Total revenue
|
| | | $ | 32,177 | | | | | $ | — | | |
Permanent Casino Loss from Operations
|
| | | $ | (2,227) | | | | | $ | — | | |
Temporary Casino Adjusted EBITDAR(1)
|
| | | $ | 7,721 | | | | | $ | — | | |
Temporary Casino Operating costs and expenses:
|
| | | | | | | | | | | | |
Depreciation and amortization
|
| | | | (5,705) | | | | | | — | | |
Expansion costs(2)
|
| | | | (22,865) | | | | | | (15,057) | | |
Management fees to Bally’s Corporation
|
| | | | (20,000) | | | | | | (424) | | |
Total Temporary Casino operating costs and expenses
|
| | | | (40,849) | | | | | | (15,481) | | |
Total other expense, net(3)
|
| | | | (10,148) | | | | | | (1,617) | | |
Other adjustments
|
| | | | (3,141) | | | | | | — | | |
Total Net loss
|
| | | $ | (56,365) | | | | | $ | (17,098) | | |
| | |
Three Months Ended
September 30, |
| |
Nine Months Ended
September 30, |
| ||||||||||||||||||||||||||||||
| | |
2024
|
| |
2023
|
| |
% Change
|
| |
2024
|
| |
2023
|
| |
% Change
|
| ||||||||||||||||||
Revenue: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Gaming
|
| | | $ | 29,235 | | | | | $ | 6,493 | | | | | | 350% | | | | | $ | 86,851 | | | | | $ | 6,493 | | | | | | 1238% | | |
Non-gaming
|
| | | | 3,236 | | | | | | 687 | | | | | | 371% | | | | | | 9,786 | | | | | | 687 | | | | | | 1324% | | |
Total revenue
|
| | | | 32,471 | | | | | | 7,180 | | | | | | 352% | | | | | | 96,637 | | | | | | 7,180 | | | | | | 1246% | | |
Operating costs and expenses: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Gaming
|
| | | | 15,078 | | | | | | 3,022 | | | | | | 399% | | | | | | 44,322 | | | | | | 3,022 | | | | | | 1367% | | |
Non-gaming
|
| | | | 2,132 | | | | | | 312 | | | | | | 583% | | | | | | 5,928 | | | | | | 312 | | | | | | 1800% | | |
General and administrative
|
| | | | 15,475 | | | | | | 10,912 | | | | | | 42% | | | | | | 45,398 | | | | | | 25,418 | | | | | | 79% | | |
Management fees to Bally’s Corporation
|
| | | | 15,000 | | | | | | 5,167 | | | | | | 190% | | | | | | 45,000 | | | | | | 5,659 | | | | | | 695% | | |
Loss on sale-leaseback
|
| | | | 150,000 | | | | | | — | | | | | | 100% | | | | | | 150,000 | | | | | | — | | | | | | 100% | | |
Depreciation and amortization
|
| | | | 4,563 | | | | | | 1,419 | | | | | | 222% | | | | | | 13,633 | | | | | | 1,420 | | | | | | 860% | | |
Total operating costs and expenses
|
| | | | 202,248 | | | | | | 20,832 | | | | | | 871% | | | | | | 304,281 | | | | | | 35,831 | | | | | | 749% | | |
Loss from operations
|
| | | | (169,777) | | | | | | (13,652) | | | | | | 1144% | | | | | | (207,644) | | | | | | (28,651) | | | | | | 625% | | |
Other income (expense): | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Interest income
|
| | | | 71 | | | | | | 718 | | | | | | (90)% | | | | | | 1,466 | | | | | | 2,084 | | | | | | (30)% | | |
Interest expense, net of amounts
capitalized |
| | | | (1,550) | | | | | | (2,803) | | | | | | (45)% | | | | | | (6,891) | | | | | | (10,514) | | | | | | (34)% | | |
Other non-operating income (expenses),
net |
| | | | — | | | | | | — | | | | | | —% | | | | | | — | | | | | | 893 | | | | | | (100)% | | |
Total other expense, net
|
| | | | (1,479) | | | | | | (2,085) | | | | | | (29)% | | | | | | (5,425) | | | | | | (7,537) | | | | | | (28)% | | |
Loss before provision for income taxes
|
| | | | (171,256) | | | | | | (15,737) | | | | | | 988% | | | | | | (213,069) | | | | | | (36,188) | | | | | | 489% | | |
Benefit for income taxes
|
| | | | — | | | | | | — | | | | | | —% | | | | | | — | | | | | | — | | | | | | —% | | |
Net loss
|
| | | $ | (171,256) | | | | | $ | (15,737) | | | | | | 988% | | | | | $ | (213,069) | | | | | $ | (36,188) | | | | | | 489% | | |
| | |
Three Months Ended
September 30, |
| |
Nine Months Ended
September 30, |
| ||||||||||||||||||||||||||||||
(in thousands)
|
| |
2024
|
| |
2023
|
| |
$ Change
|
| |
2024
|
| |
2023
|
| |
$ Change
|
| ||||||||||||||||||
Revenue: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Gaming revenue | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Temporary Casino
|
| | | $ | 29,235 | | | | | $ | 6,493 | | | | | $ | 22,742 | | | | | $ | 86,851 | | | | | $ | 6,493 | | | | | $ | 80,358 | | |
Non-gaming revenue
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Temporary Casino
|
| | | | 3,236 | | | | | | 687 | | | | | | 2,549 | | | | | | 9,786 | | | | | | 687 | | | | | | 9,099 | | |
Total revenue
|
| | | $ | 32,471 | | | | | $ | 7,180 | | | | | $ | 25,291 | | | | | $ | 96,637 | | | | | $ | 7,180 | | | | | $ | 89,457 | | |
Operating costs and expenses: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Gaming expenses | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Temporary Casino
|
| | | $ | 15,078 | | | | | $ | 3,022 | | | | | $ | 12,056 | | | | | $ | 44,322 | | | | | $ | 3,022 | | | | | $ | 41,300 | | |
Non-gaming expenses
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | |
Three Months Ended
September 30, |
| |
Nine Months Ended
September 30, |
| ||||||||||||||||||||||||||||||
(in thousands)
|
| |
2024
|
| |
2023
|
| |
$ Change
|
| |
2024
|
| |
2023
|
| |
$ Change
|
| ||||||||||||||||||
Temporary Casino
|
| | | | 2,132 | | | | | | 312 | | | | | | 1,820 | | | | | | 5,928 | | | | | | 312 | | | | | | 5,616 | | |
Total gaming and non-gaming
expenses |
| | | $ | 17,210 | | | | | $ | 3,334 | | | | | $ | 13,876 | | | | | $ | 50,250 | | | | | $ | 3,334 | | | | | $ | 46,916 | | |
General and administrative | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Temporary Casino
|
| | | | 12,070 | | | | | | 7,336 | | | | | | 4,734 | | | | | | 37,622 | | | | | | 22,565 | | | | | | 15,057 | | |
Permanent Casino
|
| | | | 3,388 | | | | | | 788 | | | | | | 2,600 | | | | | | 6,591 | | | | | | 788 | | | | | | 5,803 | | |
Other
|
| | | | 17 | | | | | | 2,788 | | | | | | (2,771) | | | | | | 1,185 | | | | | | 2,065 | | | | | | (880) | | |
Total general and administrative
|
| | | $ | 15,475 | | | | | $ | 10,912 | | | | | $ | 4,563 | | | | | $ | 45,398 | | | | | $ | 25,418 | | | | | $ | 19,980 | | |
|
| | |
Year Ended
December 31, 2023 |
| |
Period from May 24, 2022
(date of inception) to December 31, 2022 |
| |
Change
|
| |
% Change
|
| ||||||||||||
| | |
($ in thousands)
|
| | | | | | | | | | | | | |||||||||
Revenue: | | | | | | | | | | | | | | | | | | | | | | | | | |
Gaming
|
| | | $ | 28,734 | | | | | $ | — | | | | | $ | 28,734 | | | | | | N/A | | |
Non-gaming
|
| | | | 3,443 | | | | | | — | | | | | | 3,443 | | | | | | N/A | | |
Total revenue
|
| | | | 32,177 | | | | | | — | | | | | | 32,177 | | | | | | N/A | | |
Operating costs and expenses: | | | | | | | | | | | | | | | | | | | | | | | | | |
Gaming
|
| | | | 13,430 | | | | | | — | | | | | | 13,430 | | | | | | N/A | | |
Non-gaming
|
| | | | 2,138 | | | | | | — | | | | | | 2,138 | | | | | | N/A | | |
General and administrative
|
| | | | 36,441 | | | | | | 15,057 | | | | | | 21,384 | | | | | | 142% | | |
Management fees to Bally’s Corporation
|
| | | | 20,680 | | | | | | 424 | | | | | | 20,256 | | | | | | 4,777% | | |
Depreciation and amortization
|
| | | | 5,705 | | | | | | — | | | | | | 5,705 | | | | | | N/A | | |
Total operating costs and expenses
|
| | | | 78,394 | | | | | | 15,481 | | | | | | 62,913 | | | | | | 406% | | |
Loss from operations
|
| | | | (46,217) | | | | | | (15,481) | | | | | | (30,736) | | | | | | 199% | | |
Other income (expense): | | | | | | | | | | | | | | | | | | | | | | | | | |
| | |
Year Ended
December 31, 2023 |
| |
Period from May 24, 2022
(date of inception) to December 31, 2022 |
| |
Change
|
| |
% Change
|
| ||||||||||||
| | |
($ in thousands)
|
| | | | | | | | | | | | | |||||||||
Interest income
|
| | | | 2,778 | | | | | | — | | | | | | 2,778 | | | | | | N/A | | |
Interest expense, net of amounts
capitalized |
| | | | (13,819) | | | | | | (2,031) | | | | | | 11,788 | | | | | | 580% | | |
Other non-operating income (expenses),
net |
| | | | 893 | | | | | | 414 | | | | | | 479 | | | | | | 116% | | |
Total other expense, net
|
| | | | (10,148) | | | | | | (1,617) | | | | | | (8,531) | | | | | | 528% | | |
Loss before provision for income taxes
|
| | | | (56,365) | | | | | | (17,098) | | | | | | (39,267) | | | | | | 230% | | |
Benefit for income taxes
|
| | | | — | | | | | | — | | | | | | — | | | | | | N/A | | |
Net loss
|
| | | $ | (56,365) | | | | | $ | (17,098) | | | | | $ | (39,267) | | | | | | 230% | | |
|
(in thousands)
|
| |
Year Ended
December 31, 2023 |
| |
Period from
May 24, 2022 (date of inception) to December 31, 2022 |
| |
$ Change
|
| |||||||||
Revenue: | | | | | | | | | | | | | | | | | | | |
Gaming revenue | | | | | | | | | | | | | | | | | | | |
Temporary Casino
|
| | | $ | 28,734 | | | | | $ | — | | | | | $ | 28,734 | | |
Non-gaming revenue | | | | | | | | | | | | | | | | | | | |
Temporary Casino
|
| | | | 3,443 | | | | | | — | | | | | | 3,443 | | |
Total revenue
|
| | | $ | 32,177 | | | | | $ | — | | | | | $ | 32,177 | | |
Operating costs and expenses: | | | | | | | | | | | | | | | | | | | |
Gaming expenses | | | | | | | | | | | | | | | | | | | |
Temporary Casino
|
| | | $ | 13,430 | | | | | $ | — | | | | | $ | 13,430 | | |
Non-gaming expenses | | | | | | | | | | | | | | | | | | | |
Temporary Casino
|
| | | | 2,138 | | | | | | — | | | | | | 2,138 | | |
Total gaming and non-gaming expenses
|
| | | $ | 15,568 | | | | | $ | — | | | | | $ | 15,568 | | |
General and administrative | | | | | | | | | | | | | | | | | | | |
Temporary Casino
|
| | | $ | 31,753 | | | | | $ | 15,057 | | | | | $ | 16,696 | | |
Permanent Casino
|
| | | | 2,227 | | | | | | — | | | | | | 2,227 | | |
Other
|
| | | | 2,461 | | | | | | — | | | | | | 2,461 | | |
Total general and administrative
|
| | | $ | 36,441 | | | | | $ | 15,057 | | | | | $ | 21,384 | | |
| | |
Nine Months Ended
September 30, |
| |||||||||
(in thousands)
|
| |
2024
|
| |
2023
|
| ||||||
Net cash used in operating activities
|
| | | $ | (47,218) | | | | | $ | (34,162) | | |
Net cash used in investing activities
|
| | | | (110,253) | | | | | | (163,664) | | |
Net cash provided by financing activities
|
| | | | 103,723 | | | | | | 265,974 | | |
Net change in cash and restricted cash
|
| | | | (53,748) | | | | | | 68,148 | | |
Cash and restricted cash, beginning of period
|
| | | | 71,305 | | | | | | 1,092 | | |
Cash and restricted cash, end of period
|
| | | $ | 17,557 | | | | | $ | 69,240 | | |
($ in MM)
|
| |
Scenario
#1 |
| |
Scenario
#2 |
| |
Scenario
#3 |
| |
Scenario
#4 |
| ||||||||||||
Slot Machines
|
| | | | 3,400 | | | | | | 3,400 | | | | | | 3,400 | | | | | | 3,400 | | |
Slots WPUPD
|
| | | $ | 350 | | | | | $ | 400 | | | | | $ | 450 | | | | | $ | 500 | | |
Slots AGR
|
| | | $ | 434 | | | | | $ | 496 | | | | | $ | 558 | | | | | $ | 621 | | |
Table Games
|
| | | | 173 | | | | | | 173 | | | | | | 173 | | | | | | 173 | | |
Table Games WPUPD
|
| | | $ | 3,500 | | | | | $ | 4,000 | | | | | $ | 4,500 | | | | | $ | 4,500 | | |
Table Games AGR
|
| | | $ | 221 | | | | | $ | 253 | | | | | $ | 284 | | | | | $ | 284 | | |
Gaming AGR
|
| | | $ | 655 | | | | | $ | 749 | | | | | $ | 843 | | | | | $ | 905 | | |
Hotel ADR
|
| | | | 250 | | | | | | 300 | | | | | | 350 | | | | | | 400 | | |
Rooms
|
| | | | 500 | | | | | | 500 | | | | | | 500 | | | | | | 500 | | |
Occupancy
|
| | | | 65.0% | | | | | | 70.0% | | | | | | 75.0% | | | | | | 80.0% | | |
Hotel Room Revenue
|
| | | $ | 30 | | | | | $ | 38 | | | | | $ | 48 | | | | | $ | 58 | | |
AGR Pull-through(1)
|
| | | $ | 47 | | | | | $ | 51 | | | | | $ | 55 | | | | | $ | 58 | | |
Hospitality AGR
|
| | | $ | 77 | | | | | $ | 89 | | | | | $ | 103 | | | | | $ | 117 | | |
Percentage of Gaming AGR
|
| | | | 12.5% | | | | | | 15.0% | | | | | | 17.5% | | | | | | 20.0% | | |
F&B AGR
|
| | | $ | 82 | | | | | $ | 112 | | | | | $ | 147 | | | | | $ | 181 | | |
Total AGR
|
| | | $ | 814 | | | | | $ | 951 | | | | | $ | 1,093 | | | | | $ | 1,202 | | |
| | |
Comparable Properties for 2023(2)
|
| |||||||||||||||||||||
($ in MM)
|
| |
MGM
National Harbor |
| |
Encore
Boston |
| |
Hard Rock
Northern Indiana |
| |
Rivers
Casino Illinois |
| ||||||||||||
Slot Machines
|
| | | | 2,265 | | | | | | 2,550 | | | | | | 1,743 | | | | | | 1,516 | | |
WPUPD
|
| | | $ | 589 | | | | | $ | 448 | | | | | $ | 486 | | | | | $ | 598 | | |
Table Games
|
| | | | 209 | | | | | | 191 | | | | | | 76 | | | | | | 120 | | |
| | |
Comparable Properties for 2023(2)
|
| |||||||||||||||||||||
($ in MM)
|
| |
MGM
National Harbor |
| |
Encore
Boston |
| |
Hard Rock
Northern Indiana |
| |
Rivers
Casino Illinois |
| ||||||||||||
WPUPD
|
| | | $ | 4,572 | | | | | $ | 4,848 | | | | | $ | 4,202 | | | | | $ | 4,744 | | |
Total Gaming AGR
|
| | | $ | 834 | | | | | $ | 755 | | | | | $ | 426 | | | | | $ | 539 | | |
|
| | | | | | | | |
2023(2)
|
| |||||||||||||||
| | |
# Slots
|
| |
Admissions
|
| |
AGR
|
| |
WPU
|
| ||||||||||||
Ameristar East Chicago
|
| | | | 1,162 | | | | | | N/A | | | | | $ | 154 | | | | | $ | 362 | | |
Grand Victoria Casino
|
| | | | 762 | | | | | | 943 | | | | | $ | 119 | | | | | $ | 427 | | |
Hard Rock Northern Indiana
|
| | |
|
1,743
|
| | | |
|
N/A
|
| | | |
$
|
309
|
| | | |
$
|
486
|
| |
Harrah’s Joliet Casino & Hotel
|
| | | | 777 | | | | | | 738 | | | | | $ | 113 | | | | | $ | 400 | | |
Hollywood Casino Aurora
|
| | | | 832 | | | | | | 852 | | | | | $ | 77 | | | | | $ | 255 | | |
Hollywood Casino Joliet
|
| | | | 937 | | | | | | 683 | | | | | $ | 80 | | | | | $ | 233 | | |
Horseshoe Hammond
|
| | | | 1,688 | | | | | | N/A | | | | | $ | 235 | | | | | $ | 381 | | |
Rivers Casino Des Plaines
|
| | |
|
1,516
|
| | | |
|
3,088
|
| | | |
$
|
331
|
| | | |
$
|
598
|
| |
Average | | | | | 1,177 | | | | | | 1,261 | | | | | $ | 177 | | | | | $ | 393 | | |
Median | | | | | 1,050 | | | | | | 852 | | | | | $ | 136 | | | | | $ | 390 | | |
Top Performers – Averages | | | | | | | | | | | | | | | | | | | | | | | | | |
Top Performer Average
|
| | |
|
1,705
|
| | | |
|
2,230
|
| | | |
$
|
316
|
| | | |
$
|
519
|
| |
| | | | | | | | |
2023(2)
|
| |||||||||||||||
| | |
# Tables
|
| |
Admissions
|
| |
AGR
|
| |
WPU
|
| ||||||||||||
Ameristar East Chicago
|
| | | | 44 | | | | | | N/A | | | | | $ | 35 | | | | | $ | 2,168 | | |
Grand Victoria Casino
|
| | | | 45 | | | | | | 943 | | | | | $ | 31 | | | | | $ | 1,896 | | |
Hard Rock Northern Indiana
|
| | |
|
76
|
| | | |
|
N/A
|
| | | |
$
|
117
|
| | | |
$
|
4,202
|
| |
Harrah’s Joliet Casino & Hotel
|
| | | | 21 | | | | | | 738 | | | | | $ | 18 | | | | | $ | 2,344 | | |
Hollywood Casino Aurora
|
| | | | 34 | | | | | | 852 | | | | | $ | 20 | | | | | $ | 1,616 | | |
Hollywood Casino Joliet
|
| | | | 13 | | | | | | 683 | | | | | $ | 12 | | | | | $ | 2,367 | | |
Horseshoe Hammond
|
| | | | 81 | | | | | | N/A | | | | | $ | 68 | | | | | $ | 2,289 | | |
Rivers Casino Des Plaines
|
| | |
|
120
|
| | | |
|
3,088
|
| | | |
$
|
208
|
| | | |
$
|
4,744
|
| |
Average | | | | | 54 | | | | | | 1,261 | | | | | $ | 64 | | | | | $ | 2,703 | | |
Median | | | | | 45 | | | | | | 852 | | | | | $ | 33 | | | | | $ | 2,316 | | |
Top Performers – Averages | | | | | | | | | | | | | | | | | | | | | | | | | |
Top Performer Average
|
| | |
|
93
|
| | | |
|
2,230
|
| | | |
$
|
144
|
| | | |
$
|
4,365
|
| |
Date
|
| |
Key Milestone
|
|
September 9, 2023
|
| | Grand opening of our temporary casino | |
July 5, 2024
|
| | Tribune surrenders and vacates proposed site of our permanent resort and casino | |
July 5, 2024
|
| | Decommission and demolition of building on site of our permanent resort and casino | |
Q1 2025
|
| | Commencement of construction of our permanent resort and casino | |
Q3 2026
|
| | Grand opening of our permanent resort and casino(2) | |
Property
|
| |
Operator
|
| |
Location
|
| |
Year of
Opening |
| |
Existing /
Development |
| |
#
Slots |
| |
#
Tables |
| |
Poker
Tables |
| |
S.F.
Gaming Area |
| |
#
Hotel Keys |
| |
~Miles
to Bally’s Chicago |
| |||||||||||||||
American Place
|
| | Full House Resorts | | | Waukegan, IL | | |
2023
|
| | Development | | | | | 937 | | | | | | 43 | | | |
No
|
| | | | 70,000 | | | | | | — | | | | | | 41 | | |
Ameristar Casino East Chicago
|
| | Penn Entertainment / Gaming & Leisure Properties | | | East Chicago, IN | | |
1997
|
| | Existing | | | | | 1,000 | | | | | | 60 | | | |
No
|
| | | | 56,000 | | | | | | 288 | | | | | | 25 | | |
Blue Chip Casino Hotel Spa
|
| | Boyd Gaming | | | Michigan City, IN | | |
1997
|
| | Existing | | | | | 1,668 | | | | | | 64 | | | |
Yes
|
| | | | 65,000 | | | | | | 486 | | | | | | 60 | | |
Four Winds New Buffalo
|
| | Four Winds Casinos | | | New Buffalo, MI | | |
2007
|
| | Existing | | | | | 2,477 | | | | | | 47 | | | |
No
|
| | | | 130,000 | | | | | | 415 | | | | | | 71 | | |
Four Winds Casino South Bend
|
| | Four Winds Casinos | | | South Bend, IN | | |
2018
|
| | Existing | | | | | 1,425 | | | | | | 12 | | | |
Yes
|
| | | | 175,000 | | | | | | — | | | | | | 90 | | |
Grand Victoria Casino Elgin
|
| | Caesars Entertainment | | | Elgin, IL | | |
1994
|
| | Existing | | | | | 745 | | | | | | 45 | | | |
Yes
|
| | | | 29,850 | | | | | | — | | | | | | 39 | | |
Hard Rock Casino Rockford
|
| | Hard Rock International | | | Rockford, IL | | |
2021
|
| | Development | | | | | 582 | | | | | | 10 | | | |
No
|
| | | | 20,000 | | | | | | — | | | | | | 77 | | |
Hard Rock Casino Northern Indiana
|
| | Hard Rock International | | | Gary, IN | | |
2021
|
| | Existing | | | | | 2,000 | | | | | | 127 | | | |
No
|
| | | | N/A | | | | | | — | | | | | | 34 | | |
Hard Rock Casino Kenosha
|
| | Hard Rock International | | | Kenosha, WI | | |
TBD
|
| | Development | | | | | 1,500 | | | | | | 50 | | | |
TBD
|
| | | | TBD | | | | | | 150 | | | | | | 64 | | |
Harrah’s Joliet
|
| | Caesars Entertainment | | | Joliet, IL | | |
1993
|
| | Existing | | | | | 760 | | | | | | 20 | | | |
Yes
|
| | | | 39,000 | | | | | | 200 | | | | | | 41 | | |
Ho-Chunk Casino Beloit
|
| | Ho-Chunk Nation of Wisconsin | | | Beloit, IL | | |
~2024
|
| | Development | | | | | 1,650 | | | | | | 44 | | | |
TBD
|
| | | | TBD | | | | | | 312 | | | | | | 95 | | |
Hollywood Casino Aurora
|
| | Penn Entertainment | | | Aurora, IL | | |
1993
|
| | Existing | | | | | 836 | | | | | | 41 | | | |
Yes
|
| | | | 41,384 | | | | | | 100 | | | | | | 40 | | |
Hollywood Casino & Hotel Joliet
|
| | Penn Entertainment | | | Joliet, IL | | |
2010
|
| | Existing | | | | | 921 | | | | | | 14 | | | |
No
|
| | | | 50,000 | | | | | | — | | | | | | 49 | | |
Horseshoe Hammond
|
| | Caesars Entertainment | | | Hammond, IN | | |
1996
|
| | Existing | | | | | 1,800 | | | | | | 60 | | | |
Yes
|
| | | | 350,000 | | | | | | — | | | | | | 18 | | |
Potawatomi Hotel & Casino
|
| |
Forest County Potawatomi
Community |
| | Milwaukee, WI | | |
1991
|
| | Existing | | | | | 2,000 | | | | | | 118 | | | |
Yes
|
| | | | 150,000 | | | | | | 500 | | | | | | 89 | | |
Rivers Casino Des Plaines
|
| |
Churchill Downs
Incorporated / Rush Street Gaming |
| | Des Plaines, IL | | |
2011
|
| | Existing | | | | | 1,517 | | | | | | 120 | | | |
Yes
|
| | | | 78,500 | | | | | | — | | | | | | 15 | | |
Wind Creek Chicago Southland
|
| | Wind Creek Hospitality | | |
East Hazel Crest, IL
|
| |
~2024
|
| | Development | | | | | 1,400 | | | | | | 56 | | | |
Yes
|
| | | | 73,000 | | | | | | 252 | | | | | | 27 | | |
Illinois Distributed Gaming Video Gaming Terminals “VGTs”
|
| | N/A | | | N/A | | |
N/A
|
| | N/A | | | | | 48,176 | | | | | | — | | | |
—
|
| | | | — | | | | | | — | | | | | | — | | |
Name
|
| |
Age
|
| |
Position(s)
|
|
Executive Officers | | | | | | | |
Ameet Patel(1)
|
| |
57
|
| | President and Director | |
H. C. Charles Diao | | |
67
|
| | Chief Financial Officer | |
Christopher Jewett | | |
37
|
| | Chief Development Officer | |
Kim M. Barker(1)
|
| |
57
|
| | Secretary and Director | |
Non-Employee Board Members | | | | | | | |
Wanda Y. Wilson | | |
74
|
| | Chairperson of the Board | |
Renee Bradford(2)
|
| |
74
|
| | Director Nominee | |
Blanton Canady(2) | | |
76
|
| |
Director Nominee
|
|
Ezequiel (Zeke) Flores(2)
|
| |
46
|
| | Director Nominee | |
Edward Lou(2) | | |
53
|
| |
Director Nominee
|
|
Sharon Thomas Parrott(2)
|
| |
75
|
| | Director Nominee | |
Name and Principal Position
|
| |
Year
|
| |
Salary
($) |
| |
Stock
Awards ($)(2) |
| |
Non-Equity
Incentive Plan Compensation ($)(3) |
| |
All Other
Compensation ($)(4) |
| |
Total
|
| ||||||||||||||||||
Ameet Patel
President |
| | | | 2023 | | | | | | 462,740(1) | | | | | | 60,239 | | | | | | 312,627 | | | | | | 33,214 | | | | | | 867,820 | | |
| | | 2022 | | | | | | 409,615 | | | | | | 108,303 | | | | | | 262,510 | | | | | | 14,396 | | | | | | 794,471 | | |
Stock Awards
|
| ||||||||||||||||||||||||
Name
|
| |
Number of
Shares or Units of Stock That Have Not Vested (#) |
| |
Market
Value of Shares or Units of Stock That Have Not Vested ($)(1) |
| |
Equity
Incentive Plan Awards: Number of Unearned Shares, Units or Other Rights That Have Not Vested (#) |
| |
Equity
Incentive Plan Awards: Market or Payout Value of Unearned Shares, Units or Other Rights That Have Not Vested ( $)(1) |
| ||||||||||||
Ameet Patel
|
| | | | 3,020(2) | | | | | | 42,099 | | | | | | — | | | | | | — | | |
| | | | | — | | | | | | — | | | | | | 6,041(3) | | | | | | 175,622 | | |
| | |
Number of shares
of stock beneficially owned before the offering and the concurrent private placements |
| |
Percentage of shares
of stock beneficially owned before the offering and the concurrent private placements |
| |
Number of shares
of stock beneficially owned after the offering and the concurrent private placements |
| |
Percentage of
shares of stock beneficially owned after the offering and the concurrent private placements |
| |
Percentage of
total voting power after the offering and the concurrent private placements |
| |||||||||||||||||||||||||||||||||||||||
Name of beneficial owner
|
| |
Class A
Interests |
| |
Class B
Interests |
| |
Class A
Interests |
| |
Class B
Interests |
| |
Class A
Interests |
| |
Class B
Interests |
| |
Class A
Interests |
| |
Class B
Interests |
| | | | | | | ||||||||||||||||||||||||
Executive Officers, Directors and Director Nominees
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Ameet Patel
|
| | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | —% | | |
H. C. Charles Diao
|
| | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | —% | | |
Christopher Jewett
|
| | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | —% | | |
Kim M. Barker
|
| | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | —% | | |
Wanda Y. Wilson
|
| | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | —% | | |
Renee Bradford
|
| | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | —% | | |
Blanton Canady
|
| | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | —% | | |
Ezequiel (Zeke) Flores
|
| | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | —% | | |
Edward Lou
|
| | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | —% | | |
Sharon Thomas Parrott
|
| | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | —% | | |
All executive officers, directors and director
nominees (10 persons)(1) |
| | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | —% | | |
5% Stockholders of Bally’s | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Bally’s Corporation(2)
|
| | | | — | | | | | | — | | | | | | —% | | | | | | —% | | | | | | — | | | | | | 30,000 | | | | | | —% | | | | | | 100% | | | | | | 75% | | |
| | |
Page No.
|
| |||
| | | | F-2 | | | |
| | | | F-3 | | | |
| | | | F-4 | | | |
| | | | F-5 | | | |
| | | | F-6 | | | |
| | | | F-7 | | | |
| | | | F-24 | | | |
| | | | F-25 | | | |
| | | | F-26 | | | |
| | | | F-27 | | | |
| | | | F-28 | | |
| | |
December 31,
|
| |||||||||
| | |
2023
|
| |
2022
|
| ||||||
Assets
|
| | | | | | | | | | | | |
Cash
|
| | | $ | 14,027 | | | | | $ | 1,092 | | |
Restricted cash
|
| | | | 57,278 | | | | | | — | | |
Accounts receivable
|
| | | | 1,874 | | | | | | — | | |
Inventory
|
| | | | 466 | | | | | | — | | |
Prepaid expenses and other current assets
|
| | | | 6,235 | | | | | | 784 | | |
Due from related party (Bally’s Corporation) (Note 3)
|
| | | | 974 | | | | | | 974 | | |
Total current assets
|
| | | | 80,854 | | | | | | 2,850 | | |
Property and equipment, net
|
| | | | 453,674 | | | | | | 217,572 | | |
Right of use assets, net
|
| | | | 12,111 | | | | | | 15,446 | | |
Intangible assets
|
| | | | 186,250 | | | | | | 51,000 | | |
Other assets
|
| | | | 4,378 | | | | | | — | | |
Total assets
|
| | | $ | 737,267 | | | | | $ | 286,868 | | |
Liabilities and Stockholder’s (Deficit) Equity
|
| | | | | | | | | | | | |
Current portion of lease liabilities
|
| | | | 3,678 | | | | | | 3,247 | | |
Accounts payable
|
| | | | 9,869 | | | | | | 7,568 | | |
Accrued liabilities
|
| | | | 60,012 | | | | | | 1,414 | | |
Promissory notes to related party (Bally’s Corporation) (Note 3)
|
| | | | 527,230 | | | | | | — | | |
Due to related party (Bally’s Corporation) (Note 3)
|
| | | | — | | | | | | 15,816 | | |
Total current liabilities
|
| | | | 600,789 | | | | | | 28,045 | | |
Long-term portion of financing obligation
|
| | | | 200,000 | | | | | | 200,000 | | |
Long-term portion of lease liabilities
|
| | | | 8,967 | | | | | | 12,456 | | |
Total liabilities
|
| | | | 809,756 | | | | | | 240,501 | | |
Commitments and contingencies (Note 12) | | | | | | | | | | | | | |
Stockholder’s (deficit) equity: | | | | | | | | | | | | | |
Common stock ($0.01 par value; 100 shares authorized; 100 and 100 shares issued; 100 and 100 shares outstanding
|
| | | | — | | | | | | — | | |
Additional paid-in-capital
|
| | | | 974 | | | | | | 63,465 | | |
Accumulated deficit
|
| | | | (73,463) | | | | | | (17,098) | | |
Total stockholder’s (deficit) equity
|
| | | | (72,489) | | | | | | 46,367 | | |
Total liabilities and stockholder’s (deficit) equity
|
| | | $ | 737,267 | | | | | $ | 286,868 | | |
| | |
Year Ended
December 31, 2023 |
| |
Period from
May 24, 2022 (date of inception) to December 31, 2022 |
| ||||||
Revenue: | | | | | | | | | | | | | |
Gaming
|
| | | $ | 28,734 | | | | | $ | — | | |
Non-gaming
|
| | | | 3,443 | | | | | | — | | |
Total revenue
|
| | | | 32,177 | | | | | | — | | |
Operating costs and expenses: | | | | | | | | | | | | | |
Gaming
|
| | | | 13,430 | | | | | | — | | |
Non-gaming
|
| | | | 2,138 | | | | | | — | | |
General and administrative
|
| | | | 36,441 | | | | | | 15,057 | | |
Management fees to Bally’s Corporation
|
| | | | 20,680 | | | | | | 424 | | |
Depreciation and amortization
|
| | | | 5,705 | | | | | | — | | |
Total operating costs and expenses
|
| | | | 78,394 | | | | | | 15,481 | | |
Loss from operations
|
| | | | (46,217) | | | | | | (15,481) | | |
Other income (expense): | | | | | | | | | | | | | |
Interest income
|
| | | | 2,778 | | | | | | — | | |
Interest expense, net of amounts capitalized
|
| | | | (13,819) | | | | | | (2,031) | | |
Other non-operating income (expenses), net
|
| | | | 893 | | | | | | 414 | | |
Total other expense, net
|
| | | | (10,148) | | | | | | (1,617) | | |
Loss before provision for income taxes
|
| | | | (56,365) | | | | | | (17,098) | | |
Benefit for income taxes
|
| | | | — | | | | | | — | | |
Net loss
|
| | | $ | (56,365) | | | | | $ | (17,098) | | |
Basic loss per share
|
| | | $ | (563,650) | | | | | $ | (170,980) | | |
Weighted average common shares outstanding, basic
|
| | | | 100 | | | | | | 100 | | |
Diluted loss per share
|
| | | $ | (563,650) | | | | | $ | (170,980) | | |
Weighted average common shares outstanding, diluted
|
| | | | 100 | | | | | | 100 | | |
| | |
Common Stock
|
| |
Additional
Paid-in Capital |
| |
Accumulated
deficit |
| |
Total
Stockholder’s (Deficit) Equity |
| ||||||||||||||||||
| | |
Shares
Outstanding |
| |
Amount
|
| ||||||||||||||||||||||||
Balance as of May 24, 2022 (date of inception)
|
| | | | — | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | — | | |
Issuance of common stock
|
| | | | 100 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Capital contributions from Bally’s Corporation
|
| | | | — | | | | | | — | | | | | | 63,465 | | | | | | — | | | | | | 63,465 | | |
Net loss
|
| | | | — | | | | | | — | | | | | | — | | | | | | (17,098) | | | | | | (17,098) | | |
Balance as of December 31, 2022
|
| | | | 100 | | | | | | — | | | | | | 63,465 | | | | | | (17,098) | | | | | | 46,367 | | |
Return of capital to Bally’s Corporation
|
| | | | — | | | | | | — | | | | | | (62,491) | | | | | | — | | | | | | (62,491) | | |
Net loss
|
| | | | — | | | | | | — | | | | | | — | | | | | | (56,365) | | | | | | (56,365) | | |
Balance as of December 31, 2023
|
| | | | 100 | | | | | $ | — | | | | | $ | 974 | | | | | $ | (73,463) | | | | | $ | (72,489) | | |
| | |
Year Ended
December 31, 2023 |
| |
Period from
May 24, 2022 (date of inception) to December 31, 2022 |
| ||||||
Cash flows from operating activities: | | | | | | | | | | | | | |
Net loss
|
| | | $ | (56,365) | | | | | $ | (17,098) | | |
Adjustments to reconcile net loss to net cash used in operating activities:
|
| | | | | | | | | | | | |
Depreciation and amortization
|
| | | | 5,705 | | | | | | — | | |
Non-cash lease expense
|
| | | | 3,589 | | | | | | 310 | | |
Changes in current operating assets and liabilities:
|
| | | | | | | | | | | | |
Accounts receivable
|
| | | | (1,874) | | | | | | — | | |
Inventory
|
| | | | (466) | | | | | | — | | |
Prepaid expenses and other current assets
|
| | | | (5,451) | | | | | | (784) | | |
Accounts payable
|
| | | | (2,642) | | | | | | 5,799 | | |
Current portion of lease liabilities
|
| | | | (3,312) | | | | | | (53) | | |
Accrued liabilities
|
| | | | 12,889 | | | | | | (5,878) | | |
Net cash used in operating activities
|
| | | | (47,927) | | | | | | (17,704) | | |
Cash flows from investing activities: | | | | | | | | | | | | | |
Purchase of land
|
| | | | — | | | | | | (200,000) | | |
Capital expenditures
|
| | | | (191,178) | | | | | | (8,511) | | |
Acquisition of gaming licenses
|
| | | | (135,250) | | | | | | — | | |
Net cash used in investing activities
|
| | | | (326,428) | | | | | | (208,511) | | |
Cash flows from financing activities: | | | | | | | | | | | | | |
Proceeds from land financing obligation
|
| | | | — | | | | | | 200,000 | | |
Issuance costs
|
| | | | (3,914) | | | | | | — | | |
Financing from Bally’s Corporation
|
| | | | 448,482 | | | | | | 27,307 | | |
Net cash provided by financing activities
|
| | | | 444,568 | | | | | | 227,307 | | |
Net change in cash and restricted cash
|
| | | | 70,213 | | | | | | 1,092 | | |
Cash and restricted cash, beginning of period
|
| | | | 1,092 | | | | | | — | | |
Cash and restricted cash, end of period
|
| | | $ | 71,305 | | | | | $ | 1,092 | | |
Supplemental disclosure of cash flow information: | | | | | | | | | | | | | |
Cash paid for interest, net of amounts capitalized
|
| | | $ | 13,819 | | | | | $ | 2,031 | | |
Non-cash investing and financing activities: | | | | | | | | | | | | | |
Unpaid property and equipment
|
| | | $ | 11,951 | | | | | $ | 9,061 | | |
Land development liability
|
| | | | 47,739 | | | | | | — | | |
Return of capital to Bally’s Corporation
|
| | | | 62,491 | | | | | | — | | |
Promissory notes to related party (Bally’s Corporation)
|
| | | | (62,491) | | | | | | — | | |
Gaming license – capital contribution
|
| | | | — | | | | | | (51,000) | | |
Tax receivable – capital contribution
|
| | | | — | | | | | | (974) | | |
Short term lease deposit – capital contribution
|
| | | | — | | | | | | (4,500) | | |
Expenses paid by Bally’s Corporation – capital contribution
|
| | | | — | | | | | | (6,991) | | |
(in thousands)
|
| |
December 31,
2023 |
| |
December 31,
2022 |
| ||||||
Cash
|
| | | $ | 14,027 | | | | | $ | 1,092 | | |
Restricted cash
|
| | | | 57,278 | | | | | | — | | |
Total cash and restricted cash
|
| | | $ | 71,305 | | | | | $ | 1,092 | | |
| | |
December 31,
|
| |||||||||
(in thousands)
|
| |
2023
|
| |
2022
|
| ||||||
Gaming receivables
|
| | | $ | 1,570 | | | | | $ | — | | |
Non-gaming receivables
|
| | | | 304 | | | | | | — | | |
Accounts receivable
|
| | | $ | 1,874 | | | | | $ | — | | |
| | |
Years
|
|
Building and improvements
|
| |
2 – 50
|
|
Equipment
|
| |
2 – 10
|
|
Furniture and fixtures
|
| |
2 – 10
|
|
($ in thousands)
|
| |
Loan Balance
|
| |
Due Date(3)
|
| |
Interest Rate
|
| ||||||
Promissory notes payable by Bally’s Chicago Operating Company, LLC:
|
| | | | | | | | | | | | | | | |
Bally’s Chicago Holding Company, LLC(1)(2)
|
| | | $ | 419,221 | | | |
December 30, 2024
|
| | | | —% | | |
Bally’s Management Group, LLC(1)
|
| | | | 43,256 | | | |
December 30, 2024
|
| | | | —% | | |
| | | | $ | 462,477 | | | | | | | | | | | |
Promissory notes payable by Bally’s Chicago, Inc.: | | | | | | | | | | | | | | | | |
Bally’s Chicago Holding Company, LLC(1)(2)
|
| | | $ | 64,784 | | | |
December 30, 2024
|
| | | | —% | | |
Promissory notes receivable by Bally’s Chicago, Inc.: | | | | | | | | | | | | | | | | |
Bally’s Management Group, LLC(1)
|
| | | $ | 31 | | | |
December 30, 2024
|
| | | | —% | | |
Consolidated promissory notes payable to related party (Bally’s Corporation)
|
| | | $ | 527,230 | | | | | | | | | | | |
(in thousands)
|
| |
Year Ended
December 31, 2023 |
| |
Period from
May 24, 2022 (date of inception) to December 31, 2022 |
| ||||||
Food and beverage
|
| | | $ | 679 | | | | | $ | — | | |
| | |
Year Ended
December 31, 2023 |
| |||
Gaming
|
| | | $ | 28,734 | | |
Non-gaming: | | | | | | | |
Food and beverage
|
| | | | 2,688 | | |
Other
|
| | | | 755 | | |
Total non-gaming revenue
|
| | | | 3,443 | | |
Total revenue
|
| | | $ | 32,177 | | |
| | |
December 31,
2023 |
| |||
Unpaid wagers
|
| | | $ | 6,505 | | |
Loyalty programs
|
| | | | — | | |
Advanced deposits from customers
|
| | | | 1 | | |
Total
|
| | | $ | 6,506 | | |
| | |
December 31,
|
| |||||||||
(in thousands)
|
| |
2023
|
| |
2022
|
| ||||||
Prepaid taxes and license fees
|
| | | $ | 3,478 | | | | | $ | — | | |
Prepaid ground lease payments
|
| | | | 1,167 | | | | | | — | | |
Services and license agreements
|
| | | | 784 | | | | | | 126 | | |
Prepaid rent
|
| | | | 500 | | | | | | 348 | | |
Prepaid insurance
|
| | | | — | | | | | | 308 | | |
Other
|
| | | | 306 | | | | | | 2 | | |
Total prepaid expenses and other current assets
|
| | | $ | 6,235 | | | | | $ | 784 | | |
| | |
December 31,
|
| |||||||||
(in thousands)
|
| |
2023
|
| |
2022
|
| ||||||
Land
|
| | | $ | 200,000 | | | | | $ | 200,000 | | |
Land improvements
|
| | | | 147,741 | | | | | | — | | |
Building and improvements
|
| | | | 39,703 | | | | | | — | | |
Equipment
|
| | | | 22,972 | | | | | | — | | |
Furniture and fixtures
|
| | | | 205 | | | | | | — | | |
Construction in process
|
| | | | 48,754 | | | | | | 17,572 | | |
Total property and equipment
|
| | | | 459,375 | | | | | | 217,572 | | |
Less: Accumulated depreciation(1)
|
| | | | (5,701) | | | | | | — | | |
Property and equipment, net
|
| | | $ | 453,674 | | | | | $ | 217,572 | | |
| | |
December 31,
|
| |||||||||
(in thousands)
|
| |
2023
|
| |
2022
|
| ||||||
Land development liability
|
| | | $ | 47,739 | | | | | $ | — | | |
Construction
|
| | | | 4,913 | | | | | | 150 | | |
Property taxes
|
| | | | 2,872 | | | | | | 53 | | |
Compensation
|
| | | | 1,417 | | | | | | 70 | | |
Professional service fees
|
| | | | 1,017 | | | | | | 125 | | |
Legal
|
| | | | 31 | | | | | | 664 | | |
Unearned rental income
|
| | | | — | | | | | | 289 | | |
Other
|
| | | | 2,023 | | | | | | 63 | | |
Total accrued liabilities
|
| | | $ | 60,012 | | | | | $ | 1,414 | | |
(in thousands)
|
| |
Year Ended
December 31, 2023 |
| |
Period from
May 24, 2022 (date of inception) to December 31, 2022 |
| ||||||
Operating lease cost
|
| | | $ | 4,547 | | | | | $ | 405 | | |
Short-term lease expense
|
| | | | 889 | | | | | | — | | |
Total operating lease expense
|
| | | $ | 5,436 | | | | | $ | 405 | | |
($ in thousands)
|
| |
Year Ended
December 31, 2023 |
| |
Period from
May 24, 2022 (date of inception) to December 31, 2022 |
|
Cash paid for amounts included in the lease liability − operating cash flows from operating leases
|
| |
$4,272
|
| |
$148
|
|
Right of use assets obtained in exchange for operating lease liabilities
|
| |
$254
|
| |
$15,757
|
|
Weighted average remaining lease term
|
| |
2.9 years
|
| |
3.9 years
|
|
Weighted average discount rate
|
| |
6.7%
|
| |
6.6%
|
|
(in thousands)
|
| | | | | | |
2024
|
| | | $ | 4,411 | | |
2025
|
| | | | 4,789 | | |
2026
|
| | | | 4,715 | | |
2027
|
| | | | 94 | | |
Total lease payments
|
| | | | 14,009 | | |
Less: present value discount
|
| | | | (1,364) | | |
Lease obligations
|
| | | $ | 12,645 | | |
(in thousands)
|
| |
Year Ended
December 31, 2023 |
| |
Period from
May 24, 2022 (date of inception) to December 31, 2022 |
| ||||||
Income tax benefit at statutory federal rate
|
| | | $ | (11,837) | | | | | $ | (3,592) | | |
State income taxes, net of federal effect
|
| | | | (5,219) | | | | | | (1,565) | | |
Nondeductible professional fees
|
| | | | 172 | | | | | | — | | |
Other permanent differences including lobbying expense
|
| | | | 127 | | | | | | 134 | | |
Change in valuation allowance
|
| | | | 16,757 | | | | | | 5,023 | | |
Total (benefit) provision for income taxes
|
| | | $ | — | | | | | $ | — | | |
Effective income tax rate on continuing operations
|
| | | | —% | | | | | | —% | | |
(in thousands)
|
| |
December 31,
2023 |
| |
December 31,
2022 |
| ||||||
Deferred tax assets: | | | | | | | | | | | | | |
Intangible assets
|
| | | $ | 2,475 | | | | | $ | 3,789 | | |
Net operating loss carryforwards
|
| | | | 29,592 | | | | | | 1,391 | | |
Valuation allowance
|
| | | | (21,780) | | | | | | (5,023) | | |
Total deferred tax assets, net
|
| | | $ | 10,287 | | | | | $ | 157 | | |
Deferred tax liabilities: | | | | | | | | | | | | | |
Accrued liabilities and other
|
| | | $ | (692) | | | | | $ | (157) | | |
Property and equipment
|
| | | | (9,595) | | | | | | — | | |
Total deferred tax liabilities
|
| | | $ | (10,287) | | | | | $ | (157) | | |
Net deferred tax liabilities
|
| | | $ | — | | | | | $ | — | | |
(in thousands)
|
| |
Year Ended
December 31, 2023 |
| |
Period from
May 24, 2022 (date of inception) to December 31, 2022 |
| ||||||
Revenue | | | | | | | | | | | | | |
Temporary Casino
|
| | | $ | 32,177 | | | | | $ | — | | |
Permanent Casino
|
| | | | — | | | | | | — | | |
Total revenue
|
| | | $ | 32,177 | | | | | $ | — | | |
Permanent Casino Loss from Operations
|
| | | $ | (2,227) | | | | | $ | — | | |
Temporary Casino Adjusted EBITDAR(1)
|
| | | $ | 7,721 | | | | | $ | — | | |
Temporary Casino Operating costs and expenses:
|
| | | | | | | | | | | | |
Depreciation and amortization
|
| | | | (5,705) | | | | | | — | | |
Expansion costs(2)
|
| | | | (22,865) | | | | | | (15,057) | | |
Management fees to Bally’s Corporation
|
| | | | (20,000) | | | | | | (424) | | |
Total Temporary Casino operating costs and expenses
|
| | | | (40,849) | | | | | | (15,481) | | |
Total other expense, net(3)
|
| | | | (10,148) | | | | | | (1,617) | | |
Other adjustments
|
| | | | (3,141) | | | | | | — | | |
Total Net loss
|
| | | $ | (56,365) | | | | | $ | (17,098) | | |
(in thousands)
|
| |
Year Ended
December 31, 2023 |
| |
Period from
May 24, 2022 (date of inception) to December 31, 2022 |
| ||||||
Capital Expenditures | | | | | | | | | | | | | |
Temporary Casino
|
| | | $ | 66,637 | | | | | $ | 4,764 | | |
Permanent Casino
|
| | | | 124,541 | | | | | | 3,747 | | |
Total
|
| | | $ | 191,178 | | | | | $ | 8,511 | | |
| | |
December 31,
|
| |||||||||
(in thousands)
|
| |
2023
|
| |
2022
|
| ||||||
Total assets | | | | | | | | | | | | | |
Temporary Casino
|
| | | $ | 141,870 | | | | | $ | 35,868 | | |
Permanent Casino
|
| | | | 591,019 | | | | | | 251,000 | | |
Other
|
| | | | 4,378 | | | | | | — | | |
Total
|
| | | $ | 737,267 | | | | | $ | 286,868 | | |
| | |
September 30,
2024 |
| |
December 31,
2023 |
| ||||||
Assets
|
| | | | | | | | | | | | |
Cash
|
| | | $ | 17,557 | | | | | $ | 14,027 | | |
Restricted cash
|
| | | | — | | | | | | 57,278 | | |
Accounts receivable, net
|
| | | | 1,857 | | | | | | 1,874 | | |
Inventory
|
| | | | 2,086 | | | | | | 466 | | |
Prepaid expenses and other current assets
|
| | | | 5,062 | | | | | | 6,235 | | |
Due from related party (Bally’s Corporation) (Note 3)
|
| | | | 974 | | | | | | 974 | | |
Total current assets
|
| | | | 27,536 | | | | | | 80,854 | | |
Property and equipment, net
|
| | | | 156,481 | | | | | | 453,674 | | |
Right of use assets, net
|
| | | | 210,962 | | | | | | 12,111 | | |
Intangible assets
|
| | | | 186,250 | | | | | | 186,250 | | |
Other assets
|
| | | | 5,026 | | | | | | 4,378 | | |
Total assets
|
| | | $ | 586,255 | | | | | $ | 737,267 | | |
Liabilities and Stockholder’s (Deficit) Equity
|
| | | | | | | | | | | | |
Current portion of lease liabilities
|
| | | $ | 4,517 | | | | | $ | 3,678 | | |
Accounts payable
|
| | | | 8,490 | | | | | | 9,869 | | |
Accrued liabilities
|
| | | | 20,042 | | | | | | 60,012 | | |
Promissory notes to related party (Bally’s Corporation) (Note 3)
|
| | | | — | | | | | | 527,230 | | |
Due to related party (Bally’s Corporation) (Note 3)
|
| | | | 391 | | | | | | — | | |
Total current liabilities
|
| | | | 33,440 | | | | | | 600,789 | | |
Long-term portion of financing obligation
|
| | | | — | | | | | | 200,000 | | |
Long-term portion of lease liabilities
|
| | | | 207,333 | | | | | | 8,967 | | |
Long-term promissory notes to related party (Bally’s Corporation) (Note 3)
|
| | | | 631,040 | | | | | | — | | |
Total liabilities
|
| | | | 871,813 | | | | | | 809,756 | | |
Commitments and contingencies (Note 11) | | | | | | | | | | | | | |
Stockholder’s (deficit) equity: | | | | | | | | | | | | | |
Common stock, $0.01 par value, 100 shares authorized, 100 and 100 shares issued; 100 and 100 shares outstanding
|
| | | | — | | | | | | — | | |
Additional paid-in capital
|
| | | | 974 | | | | | | 974 | | |
Accumulated deficit
|
| | | | (286,532) | | | | | | (73,463) | | |
Total stockholder’s (deficit) equity
|
| | | | (285,558) | | | | | | (72,489) | | |
Total liabilities and stockholder’s (deficit) equity
|
| | | $ | 586,255 | | | | | $ | 737,267 | | |
| | |
Three Months Ended
September 30, |
| |
Nine Months Ended
September 30, |
| ||||||||||||||||||
| | |
2024
|
| |
2023
|
| |
2024
|
| |
2023
|
| ||||||||||||
Revenue: | | | | | | | | | | | | | | | | | | | | | | | | | |
Gaming
|
| | | $ | 29,235 | | | | | $ | 6,493 | | | | | $ | 86,851 | | | | | $ | 6,493 | | |
Non-gaming
|
| | | | 3,236 | | | | | | 687 | | | | | | 9,786 | | | | | | 687 | | |
Total revenue
|
| | | | 32,471 | | | | | | 7,180 | | | | | | 96,637 | | | | | | 7,180 | | |
Operating costs and expenses: | | | | | | | | | | | | | | | | | | | | | | | | | |
Gaming
|
| | | | 15,078 | | | | | | 3,022 | | | | | | 44,322 | | | | | | 3,022 | | |
Non-gaming
|
| | | | 2,132 | | | | | | 312 | | | | | | 5,928 | | | | | | 312 | | |
General and administrative
|
| | | | 15,475 | | | | | | 10,912 | | | | | | 45,398 | | | | | | 25,418 | | |
Management fees to Bally’s Corporation
|
| | | | 15,000 | | | | | | 5,167 | | | | | | 45,000 | | | | | | 5,659 | | |
Loss on sale-leaseback
|
| | | | 150,000 | | | | | | — | | | | | | 150,000 | | | | | | — | | |
Depreciation and amortization
|
| | | | 4,563 | | | | | | 1,419 | | | | | | 13,633 | | | | | | 1,420 | | |
Total operating costs and expenses
|
| | | | 202,248 | | | | | | 20,832 | | | | | | 304,281 | | | | | | 35,831 | | |
Loss from operations
|
| | | | (169,777) | | | | | | (13,652) | | | | | | (207,644) | | | | | | (28,651) | | |
Other income (expense): | | | | | | | | | | | | | | | | | | | | | | | | | |
Interest income
|
| | | | 71 | | | | | | 718 | | | | | | 1,466 | | | | | | 2,084 | | |
Interest expense, net of amounts capitalized
|
| | | | (1,550) | | | | | | (2,803) | | | | | | (6,891) | | | | | | (10,514) | | |
Other non-operating income (expenses), net
|
| | | | — | | | | | | — | | | | | | — | | | | | | 893 | | |
Total other expense, net
|
| | | | (1,479) | | | | | | (2,085) | | | | | | (5,425) | | | | | | (7,537) | | |
Loss before provision for income taxes
|
| | | | (171,256) | | | | | | (15,737) | | | | | | (213,069) | | | | | | (36,188) | | |
Benefit for income taxes
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Net loss
|
| | | $ | (171,256) | | | | | $ | (15,737) | | | | | $ | (213,069) | | | | | $ | (36,188) | | |
Basic loss per share
|
| | | $ | (1,712,560) | | | | | $ | (157,370) | | | | | $ | (2,130,690) | | | | | $ | (361,880) | | |
Weighted average common shares outstanding, basic
|
| | | | 100 | | | | | | 100 | | | | | | 100 | | | | | | 100 | | |
Diluted loss per share
|
| | | $ | (1,712,560) | | | | | $ | (157,370) | | | | | $ | (2,130,690) | | | | | $ | (361,880) | | |
Weighted average common shares outstanding, diluted
|
| | | | 100 | | | | | | 100 | | | | | | 100 | | | | | | 100 | | |
| | |
Common Stock
|
| |
Additional
Paid-in Capital |
| |
Accumulated
Deficit |
| |
Total
Stockholder’s (Deficit) Equity |
| ||||||||||||||||||
| | |
Shares
Outstanding |
| |
Amount
|
| ||||||||||||||||||||||||
Balance as of December 31, 2023
|
| | | | 100 | | | | | $ | — | | | | | $ | 974 | | | | | $ | (73,463) | | | | | $ | (72,489) | | |
Net loss
|
| | | | — | | | | | | — | | | | | | — | | | | | | (21,549) | | | | | | (21,549) | | |
Balance as of March 31, 2024
|
| | | | 100 | | | | | $ | — | | | | | $ | 974 | | | | | $ | (95,012) | | | | | $ | (94,038) | | |
Net loss
|
| | | | — | | | | | | — | | | | | | — | | | | | | (20,264) | | | | | | (20,264) | | |
Balance as of June 30, 2024
|
| | | | 100 | | | | | $ | — | | | | | $ | 974 | | | | | $ | (115,276) | | | | | $ | (114,302) | | |
Net loss
|
| | | | — | | | | | | — | | | | | | — | | | | | | (171,256) | | | | | | (171,256) | | |
Balance as of September 30, 2024
|
| | | | 100 | | | | | $ | — | | | | | $ | 974 | | | | | $ | (286,532) | | | | | $ | (285,558) | | |
| | |
Common Stock
|
| |
Additional
Paid-in Capital |
| |
Accumulated
Deficit |
| |
Total
Stockholder’s (Deficit) Equity |
| ||||||||||||||||||
| | |
Shares
Outstanding |
| |
Amount
|
| ||||||||||||||||||||||||
Balance as of December 31, 2022
|
| | | | 100 | | | | | $ | — | | | | | $ | 63,465 | | | | | $ | (17,098) | | | | | $ | 46,367 | | |
Net loss
|
| | | | — | | | | | | — | | | | | | — | | | | | | (9,143) | | | | | | (9,143) | | |
Balance as of March 31, 2023
|
| | | | 100 | | | | | $ | — | | | | | $ | 63,465 | | | | | $ | (26,241) | | | | | $ | 37,224 | | |
Net loss
|
| | | | — | | | | | | — | | | | | | — | | | | | | (11,308) | | | | | | (11,308) | | |
Balance as of June 30, 2023
|
| | | | 100 | | | | | $ | — | | | | | $ | 63,465 | | | | | $ | (37,549) | | | | | $ | 25,916 | | |
Net loss
|
| | | | — | | | | | | — | | | | | | — | | | | | | (15,737) | | | | | | (15,737) | | |
Balance as of September 30, 2023
|
| | | | 100 | | | | | $ | — | | | | | $ | 63,465 | | | | | $ | (53,286) | | | | | $ | 10,179 | | |
| | |
Nine Months Ended September 30,
|
| |||||||||
| | |
2024
|
| |
2023
|
| ||||||
Cash flows from operating activities: | | | | | | | | | | | | | |
Net loss
|
| | | $ | (213,069) | | | | | $ | (36,188) | | |
Adjustments to reconcile net loss to net cash used in operating activities
|
| | | | | | | | | | — | | |
Depreciation and amortization
|
| | | | 13,633 | | | | | | 1,420 | | |
Non-cash lease expense
|
| | | | 2,855 | | | | | | 2,665 | | |
Loss on sale-leaseback
|
| | | | 150,000 | | | | | | — | | |
Change in operating assets and liabilities:
|
| | | | | | | | | | | | |
Accounts receivable
|
| | | | 17 | | | | | | (1,816) | | |
Inventory
|
| | | | (1,620) | | | | | | (425) | | |
Prepaid expenses and other current assets
|
| | | | 1,173 | | | | | | (6,614) | | |
Right of use assets
|
| | | | (778) | | | | | | — | | |
Accounts payable
|
| | | | (1,455) | | | | | | (2,406) | | |
Current portion of lease liabilities
|
| | | | (1,723) | | | | | | (2,471) | | |
Accrued liabilities
|
| | | | 3,749 | | | | | | 11,673 | | |
Net cash used in operating activities
|
| | | | (47,218) | | | | | | (34,162) | | |
Cash flows from investing activities: | | | | | | | | | | | | | |
Capital expenditures
|
| | | | (110,253) | | | | | | (163,664) | | |
Net cash used in investing activities
|
| | | | (110,253) | | | | | | (163,664) | | |
Cash flows from financing activities: | | | | | | | | | | | | | |
Financing from Bally’s Corporation
|
| | | | 112,941 | | | | | | 269,545 | | |
Repayment of promissory notes to Bally’s Corporation
|
| | | | (8,739) | | | | | | — | | |
Issuance costs
|
| | | | (479) | | | | | | (3,571) | | |
Net cash provided by financing activities
|
| | | | 103,723 | | | | | | 265,974 | | |
Net change in cash and restricted cash
|
| | | | (53,748) | | | | | | 68,148 | | |
Cash and restricted cash, beginning of period
|
| | | | 71,305 | | | | | | 1,092 | | |
Cash and restricted cash, end of period
|
| | | $ | 17,557 | | | | | $ | 69,240 | | |
Supplemental disclosure of cash flow information: | | | | | | | | | | | | | |
Cash paid for interest, net of amounts capitalized
|
| | | $ | 10,101 | | | | | $ | 12,971 | | |
Non-cash investing and financing activities: | | | | | | | | | | | | | |
Unpaid property and equipment
|
| | | | 15,878 | | | | | | 6,739 | | |
Land development liability
|
| | | | — | | | | | | 46,802 | | |
Gaming license payable
|
| | | | — | | | | | | 135,250 | | |
Receipt of fixed assets from Bally’s Corporation
|
| | | | — | | | | | | 16,760 | | |
(in thousands)
|
| |
September 30,
2024 |
| |
December 31,
2023 |
| ||||||
Cash
|
| | | $ | 17,557 | | | | | $ | 14,027 | | |
Restricted cash
|
| | | | — | | | | | | 57,278 | | |
Total cash and restricted cash
|
| | | $ | 17,557 | | | | | $ | 71,305 | | |
(in thousands)
|
| |
September 30,
2024 |
| |
December 31,
2023 |
| ||||||
Gaming receivables
|
| | | $ | 1,629 | | | | | $ | 1,570 | | |
Non-gaming receivables
|
| | | | 243 | | | | | | 304 | | |
Accounts receivable
|
| | | | 1,872 | | | | | | 1,874 | | |
Less: Allowance for doubtful accounts
|
| | | | (15) | | | | | | — | | |
Accounts receivable, net
|
| | | $ | 1,857 | | | | | $ | 1,874 | | |
($ in thousands)
|
| |
Loan Balance
As of September 30, 2024 |
| |
Loan Balance
As of December 31, 2023 |
| |
Due Date
|
| |
Interest Rate
|
| ||||||
Promissory notes payable by Bally’s Chicago
Operating Company, LLC: |
| | | | | | | | | | | | | | | | | | |
Bally’s Chicago Holding Company, LLC(1)(2)
|
| | | $ | 526,397 | | | | | $ | 419,221 | | | |
December 31, 2025
|
| |
—%
|
|
Bally’s Management Group, LLC(1)
|
| | | | 38,935 | | | | | | 43,256 | | | |
December 31, 2025
|
| |
—%
|
|
| | | | $ | 565,332 | | | | | $ | 462,477 | | | | | | | | |
Promissory notes payable by Bally’s Chicago,
Inc.: |
| | | | | | | | | | | | | | | | | | |
Bally’s Chicago Holding Company, LLC(1)(2)
|
| | | $ | 65,739 | | | | | $ | 64,784 | | | |
December 31, 2025
|
| |
—%
|
|
Promissory notes receivable by Bally’s Chicago, Inc.:
|
| | | | | | | | | | | | | | | | | | |
Bally’s Management Group, LLC(1)
|
| | | $ | 31 | | | | | $ | 31 | | | |
December 31, 2025
|
| |
—%
|
|
Consolidated promissory notes payable to related party (Bally’s Corporation)
|
| | | $ | 631,040 | | | | | $ | 527,230 | | | | | | | | |
| | |
Three Months
Ended September 30, |
| |
Nine Months
Ended September 30, |
| ||||||||||||||||||
(in thousands)
|
| |
2024
|
| |
2023
|
| |
2024
|
| |
2023
|
| ||||||||||||
Food and beverage
|
| | | $ | 1,297 | | | | | $ | 45 | | | | | | 3,747 | | | | | $ | 45 | | |
| | |
Three Months
Ended September 30, |
| |
Nine Months
Ended September 30, |
| ||||||||||||||||||
| | |
2024
|
| |
2023
|
| |
2024
|
| |
2023
|
| ||||||||||||
Gaming
|
| | | $ | 29,235 | | | | | $ | 6,493 | | | | | $ | 86,851 | | | | | $ | 6,493 | | |
Non-gaming: | | | | | | | | | | | | | | | | | | | | | | | | | |
Food and beverage
|
| | | | 2,498 | | | | | | 530 | | | | | | 7,612 | | | | | | 530 | | |
Other
|
| | | | 738 | | | | | | 157 | | | | | | 2,174 | | | | | | 157 | | |
Total non-gaming revenue
|
| | | | 3,236 | | | | | | 687 | | | | | | 9,786 | | | | | | 687 | | |
Total revenue
|
| | | $ | 32,471 | | | | | $ | 7,180 | | | | | $ | 96,637 | | | | | $ | 7,180 | | |
| | |
September 30,
2024 |
| |
December 31,
2023 |
| ||||||
Unpaid wagers
|
| | | $ | 1,430 | | | | | $ | 6,505 | | |
Loyalty programs
|
| | | | 122 | | | | | | — | | |
Advanced deposits from customers
|
| | | | 1 | | | | | | 1 | | |
Total
|
| | | $ | 1,553 | | | | | $ | 6,506 | | |
(in thousands)
|
| |
September 30,
2024 |
| |
December 31,
2023 |
| ||||||
Prepaid taxes and license fees
|
| | | $ | 4,214 | | | | | $ | 3,478 | | |
Services and license agreements
|
| | | | 550 | | | | | | 784 | | |
Prepaid ground lease payments
|
| | | | — | | | | | | 1,167 | | |
Prepaid rent
|
| | | | — | | | | | | 500 | | |
Other
|
| | | | 298 | | | | | | 306 | | |
Total prepaid expenses and other assets
|
| | | $ | 5,062 | | | | | $ | 6,235 | | |
(in thousands)
|
| |
September 30,
2024 |
| |
December 31,
2023 |
| ||||||
Land and improvements
|
| | | $ | — | | | | | $ | 347,741 | | |
Building and improvements
|
| | | | 42,059 | | | | | | 39,703 | | |
Equipment
|
| | | | 27,983 | | | | | | 22,972 | | |
Furniture and fixtures
|
| | | | 393 | | | | | | 205 | | |
Construction in process
|
| | | | 105,380 | | | | | | 48,754 | | |
Total property and equipment
|
| | | | 175,815 | | | | | | 459,375 | | |
Less: Accumulated deprecation
|
| | | | (19,334) | | | | | | (5,701) | | |
Total property and equipment, net
|
| | | $ | 156,481 | | | | | $ | 453,674 | | |
| | |
September 30,
2024 |
| |
December 31,
2023 |
| ||||||
Construction
|
| | | $ | 8,695 | | | | | $ | 4,913 | | |
Gaming liabilities
|
| | | | 4,384 | | | | | | 923 | | |
Compensation
|
| | | | 2,775 | | | | | | 1,417 | | |
Property taxes
|
| | | | 1,677 | | | | | | 2,872 | | |
Legal
|
| | | | 965 | | | | | | 31 | | |
Professional service fees
|
| | | | 548 | | | | | | 1,017 | | |
Land development liability
|
| | | | — | | | | | | 47,739 | | |
Other
|
| | | | 998 | | | | | | 1,100 | | |
Total accrued liabilities
|
| | | $ | 20,042 | | | | | $ | 60,012 | | |
| | |
Three Months
Ended September 30, |
| |
Nine Months
Ended September 30, |
| ||||||||||||||||||
(in thousands)
|
| |
2024
|
| |
2023
|
| |
2024
|
| |
2023
|
| ||||||||||||
Operating lease cost
|
| | | $ | 2,200 | | | | | $ | 1,144 | | | | | $ | 4,488 | | | | | $ | 3,403 | | |
Variable lease cost
|
| | | | 1 | | | | | | — | | | | | | 24 | | | | | | — | | |
Operating lease expense
|
| | | | 2,201 | | | | | | 1,144 | | | | | | 4,512 | | | | | | 3,403 | | |
Short-term lease expense
|
| | | | 884 | | | | | | 6 | | | | | | 2,571 | | | | | | 89 | | |
Total operating lease expense
|
| | | $ | 3,085 | | | | | $ | 1,150 | | | | | $ | 7,083 | | | | | $ | 3,492 | | |
| | |
Three Months
Ended September 30, |
| |
Nine Months
Ended September 30, |
| ||||||||||||||||||
(in thousands)
|
| |
2024
|
| |
2023
|
| |
2024
|
| |
2023
|
| ||||||||||||
Cash paid for amounts included in the lease liability – operating
cash flows from operating leases |
| | | $ | 1,095 | | | | | $ | 1,045 | | | | | $ | 3,356 | | | | | $ | 3,210 | | |
Right of use assets obtained in exchange for operating lease liabilities
|
| | | $ | 201,706 | | | | | $ | 254 | | | | | $ | 201,706 | | | | | $ | 254 | | |
Derecognition of financing obligation
|
| | | $ | (200,000) | | | | | $ | — | | | | | $ | (200,000) | | | | | $ | — | | |
| | |
September 30,
2024 |
| |
December 31,
2023 |
|
Weighted average remaining lease term
|
| |
92.7 years
|
| |
2.9 years
|
|
Weighted average discount rate
|
| |
9.8%
|
| |
6.7%
|
|
(in thousands)
|
| | | | | | |
Remaining 2024
|
| | | $ | 6,389 | | |
2025
|
| | | | 24,789 | | |
2026
|
| | | | 24,714 | | |
2027
|
| | | | 20,094 | | |
2028
|
| | | | 20,000 | | |
Thereafter
|
| | | | 1,857,667 | | |
Total lease payments
|
| | | | 1,953,653 | | |
Less: present value discount
|
| | | | (1,741,803) | | |
Lease obligations
|
| | | $ | 211,850 | | |
| | |
Three Months
Ended September 30, |
| |
Nine Months
Ended September 30, |
| ||||||||||||||||||
(in thousands)
|
| |
2024
|
| |
2023
|
| |
2024
|
| |
2023
|
| ||||||||||||
Revenue | | | | | | | | | | | | | | | | | | | | | | | | | |
Temporary Casino
|
| | | $ | 32,471 | | | | | $ | 7,180 | | | | | $ | 96,637 | | | | | $ | 7,180 | | |
Permanent Casino
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Total revenue
|
| | | $ | 32,471 | | | | | $ | 7,180 | | | | | $ | 96,637 | | | | | $ | 7,180 | | |
Permanent Casino Loss from Operations
|
| | | $ | (153,388) | | | | | $ | (788) | | | | | $ | (156,591) | | | | | $ | (788) | | |
Temporary Casino Adjusted EBITDAR(1)
|
| | | $ | 3,191 | | | | | $ | 3,540 | | | | | $ | 8,877 | | | | | $ | 3,540 | | |
Temporary Casino Operating costs and expenses:
|
| | | | | | | | | | | | | | | | | | | | | | | | |
Depreciation and amortization
|
| | | | (4,563) | | | | | | (1,419) | | | | | | (13,633) | | | | | | (1,420) | | |
Expansion costs(2)
|
| | | | — | | | | | | (7,030) | | | | | | (112) | | | | | | (22,259) | | |
Management fees to Bally’s Corporation
|
| | | | (15,000) | | | | | | (5,000) | | | | | | (45,000) | | | | | | (5,000) | | |
Total Temporary Casino operating costs and expenses
|
| | | | (16,372) | | | | | | (9,909) | | | | | | (49,868) | | | | | | (25,139) | | |
Total other expense, net(3)
|
| | | | (1,479) | | | | | | (2,085) | | | | | | (5,425) | | | | | | (7,537) | | |
Other adjustments
|
| | | | (17) | | | | | | (2,955) | | | | | | (1,185) | | | | | | (2,724) | | |
Total Net loss
|
| | | $ | (171,256) | | | | | $ | (15,737) | | | | | $ | (213,069) | | | | | $ | (36,188) | | |
| | |
Three Months
Ended September 30, |
| |
Nine Months
Ended September 30, |
| ||||||||||||||||||
(in thousands)
|
| |
2024
|
| |
2023
|
| |
2024
|
| |
2023
|
| ||||||||||||
Capital Expenditures | | | | | | | | | | | | | | | | | | | | | | | | | |
Temporary Casino
|
| | | | 250 | | | | | | 14,500 | | | | | | 389 | | | | | | 43,167 | | |
Permanent Casino
|
| | | | 71,362 | | | | | | 93,233 | | | | | | 109,864 | | | | | | 120,497 | | |
Total
|
| | | | 71,612 | | | | | | 107,733 | | | | | | 110,253 | | | | | | 163,664 | | |
| | |
Amount
|
| |||
Securities and Exchange Commission registration fee
|
| | | $ | 29,874 | | |
FINRA filing fee
|
| | | | 8,000 | | |
Accountants’ fees and expenses
|
| | | | * | | |
Legal fees and expenses
|
| | | | * | | |
Blue Sky fees and expenses
|
| | | | * | | |
Print and engraving expenses
|
| | | | * | | |
Miscellaneous expenses
|
| | | | * | | |
Total
|
| | | $ | * | | |
|
Exhibit No.
|
| |
Description
|
|
| 10.17^*** | | | | |
| 10.18^*** | | | First Amendment to Ground Lease, dated as of September 11, 2024, by and between GLP Capital, L.P. and Bally’s Chicago Operating Company, LLC | |
|
10.19#^***
|
| | | |
| 10.20** | | | Lease Agreement, dated , by and between GLP Capital, L.P. and Bally’s Chicago Operating Company, LLC | |
| 10.21** | | | Development Agreement, dated , by and between GLP Capital, L.P. and Bally’s Chicago Operating Company, LLC | |
| 10.22*** | | |
Host Community Agreement, dated June 9, 2022, by and between the City of Chicago, Illinois and Bally’s Chicago Operating Company, LLC
|
|
| 10.23†*** | | | | |
| 10.24†*** | | | | |
| 10.25†*** | | | Employment Agreement, dated as of February 1, 2024, by and between Bally’s Management Group, LLC and Christopher Jewett | |
| 10.26†*** | | | | |
| 10.27†* | | | | |
| 10.28** | | | Form of Amended and Restated Limited Liability Company Agreement of Bally’s Chicago Operating Company, LLC, to be in effect prior to the closing of this offering | |
| 10.29** | | | Form of Placement Agent Agreement for Private Placements | |
| 10.30* | | | Form of Subscription Agreement for Private Placements | |
| 10.31** | | | Agreement to Provide Future Guarantee, by and between Bally’s Corporation and Bally’s Chicago, Inc. | |
| 10.32** | | | Stockholders Agreement, dated as of , 2025, by and between Bally’s Chicago, Inc. and Bally’s Chicago Holding Company, LLC | |
| 21.1*** | | | | |
| 23.1* | | | | |
| 23.3* | | | | |
| 24.1*** | | | | |
| 99.1*** | | | | |
| 99.2*** | | | | |
| 99.3*** | | | | |
| 99.4*** | | | | |
| 99.5*** | | | | |
| 107* | | | |
|
Signature
|
| |
Title
|
|
|
/s/ Ameet Patel
Ameet Patel
|
| |
President (Principal Executive Officer)
and Director |
|
|
/s/ H. C. Charles Diao
H. C. Charles Diao
|
| |
Chief Financial Officer (Principal
Financial Officer and Principal Accounting Officer) |
|
|
*
Wanda Y. Wilson
|
| |
Director, Chairperson
|
|
|
*
Kim M. Barker
|
| |
Director
|
|
| *By: | | |
/s/ Ameet Patel
Ameet Patel
Attorney-in-fact |
|