Century Casinos has acquired a 7.5 per cent stake in Argentine gaming business Mendoza Central Entretenimientos.
The casino group paid $1m for the share of the company and secured a three-year option to increase this to 50 per cent.
MCE has an exclusive, long-term concession agreement with the Provincial Institute of Gaming and Casinos in Mendoza to lease slot machines and provide technical services to Casino de Mendoza, which is owned by the province.
To date, the company has placed 600 slot machines on location and, in return, receives 43 per cent of the revenue they generate. Century and MCE have entered into a consulting services agreement, under which Century will receive a fixed monthly consultation fee, plus a percentage of MCE’s EBITDA.
Similar to the US, there is no standardised set of gaming legislation at the national level, but the provinces have the authority to regulate and control gaming activities.
