LAS VEGAS AND NEW YORK Phoenix Partners LP has executed an agreement to acquire the Torrequebrada Resort & Casino located in Malaga, Spain, for US $73 million.
The agreement, scheduled to close prior to February 16, 2001 subject to due diligence, is not contingent on financing.
The resort will be owned by the company that will result from the planned merger between AmeriResource Technologies and Phoenix Leisure Holdings LLC which will be called AmeriLeisure and Entertainment Holding and Starwood Hotels & Resorts.
Phoenix, as the originator and sponsor of the transaction, has succeeded in assembling a group of co-investors and strategic partners consisting of Starwood, Banco Santander, the Bank of Nova Scotia and an unnamed New York Stock Exchange listed entertainment company whose gaming subsidiary will be responsible for the branding and management of the casino.
Upon consummation of the acquisition, Phoenix and Starwood intend to equity interests of not less than 70% and 20% respectively. The balance will be in the hands of the participating banks.
The Torrequebrada Resort & Casino is a five-star complex featuring 350 guestrooms, several restaurants and lounges, indoor and outdoor pools, a private beach, golf and a health spa facility. It is one of the largest casinos in Spain and the largest business conference center outside of Madrid. The replacement value of the hotel complex has been assessed at more than US $100 million. It is located on the Costa del Sol, an area widely known as the Spanish Riveria. (11/6/00)