Acquisitions

12 Months Ended

Dec. 31, 2020

The Company did not have any material acquisitions during the year ended December 31, 2020 or 2018.

On January 14, 2019, the Company completed the acquisition of the Laughlin Entities from Marnell for $156.2 million in cash (after giving effect to the post-closing adjustment provisions in the purchase agreement) and the issuance of 911,002 shares of the Company’s common stock to certain assignees of Marnell. The results of operations of the Laughlin Entities are included in the Company’s results subsequent to the acquisition date.

The Laughlin Acquisition was accounted for using the acquisition method of accounting. The determination of the fair value of the assets acquired and liabilities assumed (and the related determination of estimated lives of depreciable tangible and identifiable intangible assets) was completed in the fourth quarter of 2019.

The following table summarizes the allocation of the purchase price for the Laughlin Acquisition, based on estimates of the fair values of the assets acquired and liabilities assumed:


(In thousands)	Preliminary Allocation as of March 31, 2019		Adjustments		Final Purchase Price Allocation
Current assets	$	12,615	$	(123)	$	12,492
Property and equipment	126,198		(1,131)		125,067
Right-of-use assets	2,620		—		2,620
Intangible assets	19,234		(324)		18,910
Goodwill	24,736		1,455		26,191
Other noncurrent assets	—		123		123
Liabilities	(10,023)		—		(10,023)
Lease liabilities	(2,620)		—		(2,620)
Total assets acquired, net of liabilities assumed	$	172,760	$	—	$	172,760

The goodwill recognized is the excess of the purchase price over the final values assigned to the assets acquired and liabilities assumed. All of the goodwill was assigned to the Casinos segment and $15.0 million is expected to be deductible for income tax purposes.

The following table summarizes the values assigned to acquired property and equipment in the Laughlin Acquisition and estimated useful lives by category:


(In thousands)	Useful Life (Years)	Amount
Land	Not applicable	$	4,160
Building and site improvements	10-30	102,450
Furniture and equipment	2-13	18,290
Construction in process	Not applicable	167
Total property and equipment		$	125,067

The following table summarizes the values assigned to acquired intangible assets in the Laughlin Acquisition and estimated useful lives by category:


(In thousands)	Useful Life (Years)	Amount
Non-compete agreements	5	$	3,630
Trade names	Indefinite	6,980
Player loyalty program	2	8,300
Total intangible assets		$	18,910

The following table summarizes the components of the purchase price paid by the Company to Marnell in the Laughlin Acquisition (after taking into account the adjustment to the cash portion of the purchase price pursuant to the post-closing adjustment provisions of the purchase agreement, as described above):


(In thousands)	Amount
Cash	$	156,152
Fair value of common stock issued (911,002 shares)	16,608
Total purchase price	$	172,760