Baby Steps Towards Legalization At Last
Oversight Group Will Be Cabinet-Level
Purchasers and Sellers Dance the Dance with Atlantic City gambling enterprises
Everybody wants a bit of Atlantic City’s casinos these days, this indicates
Ah, the Atlantic Club in Atlantic City: your ex that everybody wants to sleep with, but no one will marry. This New Jersey land gaming joint keeps on finding brand new suitors, however, and now a brand new one has popped through to the horizon: a local attorney-slash-entrepreneur, George Miller, who’s developed an investment team with The Flynn Company CEO Kevin Flynn of Philadelphia. Apparently, this real estate duo are eyeing all types of East Coast casinos, with the target of firming something up before New Year’s 2014 strikes midnight in the clock.
Atlantic Club Just One Contender
While Miller won’t come right away and say who is looking like they’ll certainly be getting a diamond just yet, he did tell the Press of Atlantic City their team hasn’t eliminated the Atlantic Club as a contender, but that they were ‘looking all over the place’ for just the right spot to make their deal.
The situation is manufactured a bit more interesting for the reason that both Miller and Flynn hold very small stakes in A caesars-run pennsylvania property; albeit merely a 0.25% stake each. Press of Atlantic City interviewer Donald Wittkowski suggests that this minor alliance could assist the duo, as Caesars has four casinos in Atlantic City and might be prepared to part with one. You might recall that Caesars’ international debt-load is sky-high, and some cash right now might be over welcomed as a number of their records are coming due in 2015. Rumors are that possibly Trump Plaza, Golden Nugget and Revel along with Caesars’ Showboat might all be getting sexy glances from Miller and Flynn right now.
A good amount of Inventory Up for Grabs
It looks like it’s a sellers market these times, though; also in line to buy something in Atlantic City most likely to then get in place to obtain an interactive gaming license for AC’s imminent Internet launch are outfits like PokerStars, possibly Kentucky’s Churchill Downs horse racing operation, as well as Philly’s SugarHouse casino owners are considered seeking to expand into the Atlantic City market. Uk operators 2UP video Gaming is additionally reported become interested in AC, backed apparently by an unnamed mogul that is asian.
The Plaza (which killed a potential deal with the West Coast’s Meruelo Group for $20 million when the casino’s main mortgage holder Carl Icahn said ‘I don’t think so’ to the low-ball offer), as well as the Golden Nugget and poor ol’ Revel, which just can’t seem to stand up, it’s so debt-heavy at the top among the properties letting it be known they could be available for the right price are the now-infamous Atlantic Club.
Needless to say, you could wonder why a town whose casinos are doing so generally awful in the net profits division will be so eagerly courted by a lot of these days, and the answer that is obvious both the interactive gaming potential (you can’t get an online operator’s license without purchasing a land casino) too as the seemingly vague potential for the legalization of sports betting in Atlantic City’s land gambling enterprises, which includes been shot down more times than an Iranian war plane over the White House.
Regardless, Miller claims their investment group is doing its diligence that is due about market. Despite Atlantic City’s crappy revenue ledgers the past couple of years, he claims he views ‘a lot of good on the horizon.’
Caesars Entertainment Rearranges Deck Furniture for Debt Restructuring
Caesars Entertainment is doing plenty of restructuring, but will it help their economically sinking ship?
Can this number of Titanic debt be salvaged from dragging the ship towards the bottom of the monetary ocean? That is the question being asked as Caesars Entertainment Corp. put Planet Hollywood one of their kingpin Las Vegas Strip properties right into a new company that is holding along with the Interactive Division and the still-being-built https://casino-bonus-free-money.com/lucky-nugget-casino/ Horseshoe Casino Baltimore. The business has instructed its shareholders that they have only until Oct. seventeenth to have in for a stock fire sale to bring in $1.18 billion in much-needed money infusions as well. And you thought your storage sales were busy.
Shareholders Can Purchase Stocks First
The Securities and Exchange Commission (SEC) filing made by Caesars announces that shareholders are certain to get very first dibs on one share each of the latest Caesars Acquisition Co. (CAC) for every single share associated with the existing parent company they own. This restructuring was within the works since this past Spring, and ended up being officially authorized by the Nevada Gaming Control Board in July.
Under the restructuring, the newly formed CAC would have been a partial owner of the additionally newly created Caesars Growth Partners, and along with Caesars Entertainment (are you dizzy yet?), the new entity will acquire Planet Hollywood, the Baltimore under-construction property, and Caesars Interactive Entertainment, which, of course, spearheads the World Series of Poker (WSOP) a real income online poker brand that just lately launched for Nevada Internet players.
Now you might think the purpose of all this fundraising is to pay down the company’s massive current debt, but apparently, they have been studying the White home financials, because they state the raised funds will go towards new casino jobs in the U.S., as well as more online development, in conjunction with 888 Holdings, to obtain a few online casino internet sites up and rolling in New Jersey whenever that state goes online on November 26. They must be in a pissing competition with Obama for the greatest debt ceiling that is achievable.
Gambling’s Highest Debt Load
Think we’re kidding? Caesars has the dubious honor of keeping the casino industry’s highest-ever long-lasting financial obligation load at $23.5 billion. In early 2014, they will do a refi of about $5 billion of that, and got about $200 million towards that amount in a stock sale already.
This somewhat frightening debtload doesn’t seem to be deterring anybody from teaming up with the gaming behemoth though; Detroit-based Rock Gaming is in on a joint venture with Caesars to own and run the $400 million Horseshoe Baltimore once it’s completed and ready to start in 2015. And Suffolk Downs Racetrack in Boston moved into partnership aided by the ongoing business since well, as they make an effort to manage to get thier $1 billion casino project accepted and built in Boston in Massachusetts’ Battle associated with Casino Giants game.
Seems even Caesars Deputy General Counsel Michael Cohen isn’t completely sure about this restructuring gameplan, nonetheless.
‘Compared to our capital structure, that’s not a change that is big’ he told the Nevada Gaming Control Board about the company’s spinoff concept when they signed off on the plan in July. ‘Caesars has a complete lot of debt. We think it’s manageable, but others disagree.