It will be good that the chain is replaced as the slack had made the chain loose off the mechanical strength.
So it will be ideal to have the chain replaced at least in the near future as you can for the time being tighten as continue to use, with the slapping noise reduced.
The timing chain keeps the major componants in the engine alligned. A new chain will allign the engine componants better than an old chain that is sagging... and will thusly make the engine perform better and get better fuel milage as well as last longer.
I would replace the chain and not even consider the tightening of a chain that is that worn out...
You are lucky not to have the chain skip and cause the valves to come into contact with the pistons... ( read ; Interference engine)
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