Bally’s Corporation (NYSE:BALY) Q3 2023 Earnings Call Transcript

Charlie Diao: This is Charlie. Yeah, I think you asked about 15 questions in that list. But fundamentally is — yes, we know what our covenants are, we know what our contractual obligations are, and to the degree that we are actually leveraged below a certain level, we have unlimited room to distribute cash. However, if we get more levered, obviously there are certain limitations. In terms of the capital plan, we told you that we have $300 million committed unused from the existing facility. We also explained that 2024 is pretty limited in terms of just demolition and site prep. That 2025 and 2026, this was your question in terms of phasing, is where we do the construction above ground. And then in terms of construction financing, you can take certain ratios and so forth.

The REITs are very valuable partners with us in terms of — in our sector. And you’ve seen many of them provide different forms of construction financing. Because ultimately, we think that Chicago is an asset that everybody would aspire to own in the REIT world. So, I think you’ve got the hints in terms of where different sources of financing. In addition, we do have a land bank within our existing estate of probably $1.1 billion to $1.3 billion in value, depending on when we choose to monetize that. So we have — as Soo mentioned before, we have a lot of levers. But we don’t really need the money until 2025. This is 2023. And then in addition, we also have a minority equity raise that probably sometimes in the first quarter — or more like second quarter.

So there are a lot of pieces that will fall into place. Unfortunately, you just have to be patient.

Ricardo Chinchilla: And if I may go with a follow-up, can you please provide the covenant adjusted EBITDA for the quarter and the restricted group leverage for the LTM period?

Charlie Diao: No, but we — I think we said we are in the force.

Operator: We have no further questions at this time. I would now like to turn the call back over to the speakers for any additional or closing remarks.

Robeson Reeves: Okay. Thank you, everyone, for all your questions today. We’ll speak to you again soon, and we’ll keep you apprised of any significant movements coming up in the future. I’m very happy with our performance, and we’ll keep on pushing forward. Thank you.

Operator: This does conclude today’s program. Thank you for your participation. You may disconnect at any time.