Golden Entertainment announced the merger between Sartini Gaming and a subsidiary of Lakes Entertainment has closed, after receiving various approvals from the Lakes’ shareholders. In connection with the merger, Lakes has been renamed Golden Entertainment.

The all-stock transaction unites two renowned and respected brands in the gaming space. The newly combined company operates approximately 9,250 slot machines and video lottery terminals in Nevada and Maryland across four casino properties, 48 taverns and 670 route locations. Golden Entertainment’s headquarters is now based in Las Vegas, Nevada.

Golden Entertainment also announced the successful syndication and closing of a new $160 million senior secured credit facility, comprising a $120 million senior secured term loan and a $40 million senior secured revolving credit facility.

Capital One and KeyBank acted as the joint lead arrangers and joint book runners for the new facility. Capital One acted as administration agent and KeyBank acted as syndication agent in connection with the new facility.

The new facility matures in 2020. Borrowings under the new facility bear interest, at the company’s option, at either (1) the highest of the federal funds rate plus 0.50%, the Eurodollar rate for a one-month interest period plus 1.00%, or the administrative agent’s prime rate as announced from time to time, or (2) the Eurodollar rate for the applicable interest period, plus an applicable margin based on the company’s leverage ratio ranging from 1.75% to 2.75% for Eurodollar loans and 0.75% to 1.75% for base rate loans.

Net proceeds from the new facility were used to repay and discharge all of the outstanding senior secured indebtedness of Golden Gaming as well as Lakes’ outstanding Rocky Gap indebtedness. The interest rates under the new senior secured credit facility, which are lower than previously anticipated, are expected to result in significant interest savings compared to Golden Gaming’s prior interest expense.