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| Gameco to buy Black Hawk Gaming |
4/30/2001 US$12 share purchase price agreed upon Last week Black Hawk Gaming & Development Co. Inc. announced its agreement to be purchased by Gameco Inc. for US$12 cash per common share not currently owned by Black Hawk's Chairman Jeffrey P. Jacobs. The deal closed US$1 higher than Jacob?s earlier offer to purchase shares at US$11 per share. The deal has the support of Robert Greenlee, a former chairman of Black Hawk who currently owns 11 percent of the company's common stock. Greenlee withdrew his own proposal, which matched Jacob?s, and has agreed to vote his shares in favor of the merger. The transaction is expected to close in the fourth quarter. According to a company statement, if the deal falls through as a result of Jacob?s inability to raise the necessary capital, he will be held liable to the sum of US$2 million. |
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