Far East Consortium International Ltd. (FEC) just took its reach a little further. It announced on Tuesday that it had inked a deal that will allow it to acquire a company that operates casinos in the Czech Republic. The merger is with Trans World Corp (TWC), which also has several operations in Germany and Austria.
How much money changed hands in the deal isn’t known. However, in FEC’s March financial filing, it mentioned the negotiations, saying that it wouldn’t exceed $42 million, except for adjustment necessary for “dissenting” shareholders.
In March, FEC announced that it would be negotiating a deal, through its FEC Overseas Investment Ltd. subsidiary, with a firm that operated gaming businesses in the Czech Republic. It detailed the firm as being TWC, which holds gaming licenses in the country, which allow it to offer “live and technical games” in three different casinos. The licenses were issued in January, and are valid for three years. The deal hinged on the approval of regulators in Nevada, where its overseas investment company is registered.
In acquiring the Czech Republic-based operations, FEC said that it “would add some of the best casino assets in the region” to the group, as well as providing an “additional stream of steady recurring cash flows and profits.”