PARADISE ISLAND, BAHAMAS Sun International has announced the completion of the Resorts Casino Hotel sale to an affiliate of Colony Capital LLC. The company received, at closing, approximately $127 million in cash and $17.5 million of subordinated notes which have a maturity of seven years and bear interest at 12.5% per annum. The interest is payable 50% in cash and 50% in additional subordinated notes.
The $127 million was used to permanently reduce debt under the company s Bank Credit Facility. Colony has the option, under terms of the agreement, to acquire additional real estate adjacent to the Resorts Casino Hotel for $40 million. (4/26/01)