EBCI Holdings, the business arm of North Carolina-based tribe Eastern Band of Cherokee Indians, is set to bid on an opportunity to build two new out-of-state casinos.
The resolution outlines a “new business and investment opportunity” referred to as Project Thoroughbred, in which EBCI Holdings would make an investment of $25m for an equity stake of approximately 44 per cent in expanded commercial gaming interests.
Should EBCI Holdings be selected as the winning bidder, it will make a deposit from its own accounts of about $2.5m, reports Smoky Mountain News. Then the tribe would provide $25m from its endowment and investment accounts.
The total cost of the project is estimated at $90m, according to the resolution, and would involve building and owning two new casinos. EBCI Holdings intends to obtain about $62m in debt financing, guaranteed by the tribe.