Distressed investor Z Capital Partners has upped its ownership stake in Affinity Gaming Corp., the latest twist in a brewing dispute over control of the formerly bankrupt casino operator, Reuters reported yesterday. In filings with the U.S. Securities & Exchange Commission this week, Z Capital said that it raised its stake in Affinity to 30.5 percent from 24.97 percent. The investor has been steadily increasing its stake since first earning an equity share through the company's bankruptcy. Affinity, previously called Herbst Gaming Inc., filed for bankruptcy in Nevada in 2009, with a plan to split off its slot machine company and give creditors the equity in a new casino operator that became Affinity. Large investors like Z Capital and Silver Point Capital have been buying up shares in Affinity ever since. Silver Point, the second-largest shareholder, owned 24.9 percent of Affinity as of December, according to SEC filings.
