Z Capital Partners Buys Affinity Gaming for $580M

The transcript discusses a company's acquisition and financing, highlighting the restructuring of assets under the Herbs Terribles brand. It covers market trends, including repricing and casino deals, with a focus on Las Vegas's recovery. The outlook for M&A and leveraged buyouts is explored, noting high EBITDA multiples and forgiving debt markets. The transcript concludes with insights into credit markets, emphasizing the lack of risk premium in high yield bonds compared to leveraged loans.

What was the initial involvement of the company in the restructuring process?

• They provided consultancy services.

• They were a 60% shareholder.

• They were not involved in the restructuring.

• They initially bought the debt and later acquired equity.

What is one reason for the increase in casino deals recently?

• The resurgence of Las Vegas as a popular destination.

• The decrease in casino revenues.

• The rise in housing prices in Las Vegas.

• The decline in tourism in Las Vegas.

What was the visitor total in Las Vegas in 2016?

• 43 million

• 20 million

• 30 million

• 50 million

What was notable about private equity acquisitions in 2016?

• They were mostly in the tech sector.

• They had the highest EBITDA multiples.

• They had the lowest EBITDA multiples.

• They were all cash deals.

What is a risk mentioned regarding the current credit markets?

• High yield bonds are offering high risk premiums.

• Leveraged loans and high yield bonds have similar yields.

• Investors are avoiding high yield bonds.

• Credit markets are stable and predictable.