BNGO files 8K.....
Item 2. Acquisition or Disposition of Assets
On November 12, 1997, American Bingo & Gaming Corp.
("Registrant") entered into an agreement to acquire Darlington
Music Co., a South Carolina video gaming business ("Darlington").
The acquisition ("Acquisition") will be consummated ina stock-for-stock
transaction, with the Registrant exchanging 1,000,000 shares of the
Registrant's Common Stock for 100% of the issued and outstanding
capital stock of Darlington. There is no cash consideration. Based on
its due diligence, the Registrant believes that Darlington will generate more than $4 million in revenues and $1,000,000 in free cash flow in 1997. Since the Registrant will account for the Acquisition as a poolingof interests, Darlington's historical financial results will be combined with the Registrant's financial results. The Acquisition closed onDecember 18, 1997.
Darlington was founded in 1938 by George Harrison Sr., and is today owned and operated by his three sons George Harrison, Jr., Thomas Harrison and William Harrison (collectively, the "Harrisons"), and Michael Mims, Vice President - Gaming ("Mims"), who together, will continue to operate the business.
The Acquisiton involves consideration in excess of 10% of the Registrant's total assets. The Registrant will file, by amendment to this Form 8-K, the required financial statements and exhibits within 60 days of the date of this Report.
Rob |
