Horse racing track and casino operator MTG Gaming completes $250 million notes offering

MTG Gaming completes notes offering, repays debt

CHESTER, W.Va. — Horse racing track and casino operator MTG Gaming Group Inc. said Wednesday it completed a $250 million notes offering and used the proceeds to purchase $130 million in outstanding debt.

Last month, MTG Gaming priced the 12.625 percent senior secured notes due 2014, at 95.248 percent of the principal amount.

The company said it used the proceeds from the sale to purchase $130 million in outstanding 9.75 percent senior notes due 2010, to repay all amounts outstanding under an existing senior secured credit facility and to pay consent fees in connection with the previously announced 9 percent senior subordinated notes due 2012.

MTR Gaming Group owns and operates Mountaineer Casino, Racetrack & Resort in Chester, W.Va.; Presque Isle Downs & Casino in Erie, Pa.; and Scioto Downs in Columbus, Ohio.

The company’s shares fell 14 cents, or 3.7 percent, to $3.61 in afternoon trading.