Red Rock Resorts Announces $750M Senior Notes Offering

Station Casinos LLC, a subsidiary of Red Rock Resorts, Inc. (NASDAQ: RRR), has announced its intention to offer $750 million aggregate principal amount of senior notes due 2032 in a private placement. The notes will be guaranteed by the company's current and future wholly-owned restricted subsidiaries. Concurrently with the issuance of the notes, the company expects to amend, amend and restate, or refinance its credit agreement dated as of June 8, 2016, to provide for a new senior secured term "B" loan facility in an aggregate principal amount of $1,320.0 million and a new senior secured revolving credit facility in an aggregate principal amount of $1,100.0 million. The company intends to use the net proceeds of the offering, together with the net proceeds of the new term B loan and $200.0 million of borrowings under the new revolving credit facility, to refinance all loans and commitments outstanding under the existing credit agreement, pay fees and costs associated with such transactions, and for general corporate purposes.

The market has reacted to these announcements by moving the company's shares -0.2% to a price of $57.87. For the full picture, make sure to review Red Rock Resorts's 8-K report.

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