American Bingo & Gaming Corp. Raises Over $11.4 Million from Warrant Call
PR Newswire, Tuesday, December 30, 1997 at 12:41
AUSTIN, Texas, Dec. 30 /PRNewswire/ -- American Bingo & Gaming Corp.
(NASDAQ:BNGO) today announced that it successfully raised over $11.4 million
from its warrant call completed on December 22, 1997. Almost 2.3 million
warrants were exercised by investors into a like number of shares of the
Company's Common Stock at $5.00 per share. The Company now has approximately
9.5 million shares outstanding, with 6.0 million shares in the float. The
balance of outstanding shares is held by management.
John Orton, Chief Financial Officer, noted, "We are pleased with the
results of the warrant call. We have built a very successful company in the
first three years of our public life on just $5.0 million of equity financing
with no long-term debt. We now have more than twice that level of equity
financing to accelerate our growth. We have several exciting acquisitions
prospects that we expect to announce soon that should be highly accretive to
earnings and diversify the Company's operations. We should also now qualify
for Nasdaq National Market System listing and we will apply for listing in
1998. In short, American Bingo & Gaming Corp. today is better capitalized and
strategically positioned with stronger financial fundamentals than ever
before."
American Bingo is the market leader in the North American charitable bingo
market. The Company derives revenues from its bingo centers in Texas, Alabama
and South Carolina, and also generates significant revenues from its video
gaming operations in South Carolina. Except for historical information
contained herein, certain matters set forth in this press release are forward
looking statements that are subject to risks and uncertainties, including
government regulation and taxation, customer attendance and spending,
competition, general economic conditions and other risks detailed in the
Company's SEC reports.
SOURCE American Bingo & Gaming Corp.
-0- 12/30/97
/CONTACT: Financial Broker Relations: Michael Fearnow or Ruth Shepley,
713-840-7500, both for American Bingo & Gaming Corp.; or Corky Logue,
Chairman, or John Orton, CFO, both of American Bingo & Gaming Corp.,
888-TRY-BNGO/
/Web site: ambingo.com |
