Boyd Gaming completes sale of 50% interest in Borgata

(PRESS RELEASE) -- Boyd Gaming Corporation today announced that it has completed the previously announced sale of its 50% equity interest in Marina District Development Holding Co., LLC, the parent company of Borgata Hotel Casino and Spa in Atlantic City, New Jersey, to MGM Resorts International.

Boyd Gaming received net cash proceeds of $589 million from the transaction, after deducting its share of Borgata's currently outstanding debt. These proceeds do not include Boyd Gaming's 50% share of any future property tax settlement benefits. Borgata estimates that it is entitled to property tax refunds totaling $160 million, including amounts due under court decisions rendered in its favor and estimates for open tax appeals.

Boyd Gaming plans to use proceeds from the transaction for debt reduction and general corporate purposes.