Baby Steps Towards Legalization At Last
Oversight Group Will Be Cabinet-Level
Buyers and Sellers Dance the Dance with Atlantic City Casinos
Everybody wants an item of Atlantic City’s casinos these days, it seems
Ah, the Atlantic Club in Atlantic City: the girl that everybody wants to sleep with, but nobody 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 estate that is real are eyeing all kinds of East Coast casinos, with the target of firming something up before New 12 months’s 2014 strikes midnight in the clock.
Atlantic Club Just One Contender
While Miller won’t come right away and say who is searching like they will be getting a diamond just yet, he did inform the Press of Atlantic City his team hasn’t eliminated the Atlantic Club being a contender, but that they were ‘looking all over the area’ for just the right spot to make their deal.
The situation is made a bit more interesting for the reason that both Miller and Flynn hold extremely small stakes in A caesars-run pennsylvania property; albeit only a 0.25per cent stake each. Press of Atlantic City interviewer Donald Wittkowski shows that this alliance that is minor help the duo, as Caesars has four casinos in Atlantic City and may be willing to part with one. You might recall that Caesars’ international debt-load is sky-high, and some cash right now might be a lot more than welcomed as some of their records are coming due in 2015. Rumors are that possibly Trump Plaza, Golden Nugget and Revel along side Caesars’ Showboat might all be getting sexy glances from Miller and Flynn at this time.
Plenty of Inventory Up for Grabs
It looks like it is a sellers market these days, though; also in line to buy something in Atlantic City most likely to then get constantly in place to obtain an interactive video gaming license for AC’s imminent Internet launch are clothes like PokerStars, possibly Kentucky’s Churchill Downs horse racing operation, as well as Philly’s SugarHouse casino owners are said to be trying to expand into the Atlantic City market. British operators 2UP video Gaming is also reported to be interested in AC, backed apparently by the unnamed Asian mogul.
On the list of properties allowing it to be known they could be available for the best cost are the now-infamous Atlantic Club, the Plaza (which killed a potential handle the western 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), in addition to the Golden Nugget and poor ol’ Revel, which simply can not appear to stand up, it’s so debt-heavy during the top.
Of course, you might wonder why a town whose casinos are doing this generally awful in the web profits division will be therefore eagerly courted by countless these days, and the answer that is obvious both the interactive gaming potential (you can’t obtain an online operator’s license without buying a land casino) too as the seemingly vague potential for the legalization of sports betting in Atlantic City’s land casinos, which includes been shot down more times than an Iranian war air plane over the White home.
Regardless, Miller claims his investment group is doing its due diligence about any of it market. The past few years, he claims he views ‘a lot of good on the horizon. despite Atlantic City’s crappy profit ledgers’
Caesars Entertainment Rearranges Deck Furniture for Debt Restructuring
Caesars Entertainment is doing lots of restructuring, but will it help their economically ship that is sinking?
Can this quantity of Titanic debt be salvaged from dragging the ship towards the base associated with ocean that is financial? That is the question being asked as Caesars Entertainment Corp. put Planet Hollywood one of their kingpin Las Vegas Strip properties in to a new holding company, along side the Interactive Division and the still-being-built Horseshoe Casino Baltimore. The business has instructed its shareholders that they have only until Oct. 17th to have in for a stock fire sale to generate $1.18 billion in much-needed money infusions as well. And also you thought your garage sales were busy.
Shareholders Can Buy 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 all of the newest Caesars Acquisition Co. (CAC) for every single share of the parent that is existing they own. This restructuring is in the works since this past Spring, and had been formally authorized by the Nevada Gaming Control Board in July.
The newly formed CAC will be a partial owner of the also newly created Caesars Growth Partners, and along with Caesars Entertainment (are you dizzy yet?), the new entity will own Planet Hollywood, the Baltimore under-construction property, and Caesars Interactive Entertainment, which, of course, spearheads the World Series of Poker (WSOP) real wheresthegoldslots.com money online poker brand that just recently launched for Nevada Internet players under the restructuring.
Now you might think the point of all this fundraising is to pay the company down’s massive current debt, but evidently, they have been studying the White home financials, because they do say the raised funds will go towards new casino projects in the U.S., as well as more online development, together with 888 Holdings, to acquire a few online casino web sites up and rolling in New Jersey whenever that state goes online on November 26. They must be in a pissing contest 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 holding the casino industry’s highest-ever debt that is long-term at $23.5 billion. In early 2014, they shall perform a refi of about $5 billion of that, and got about $200 million towards that amount in a stock purchase already.
This debtload that is somewhat scaryn’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 operate the $400 million Horseshoe Baltimore once it’s completed and ready to open in 2015. And Suffolk Downs Racetrack in Boston has gone into partnership utilizing the company since well, as they attempt to obtain $1 billion casino project accepted and built in Boston in Massachusetts’ Battle associated with the Casino Giants game.
Seems even Caesars Deputy General Counsel Michael Cohen isn’t completely sure about this restructuring gameplan, but.
‘Compared to our capital structure, that is not a change that is big’ he told the Nevada Gaming Control Board about the business’s spinoff concept once they signed down on the plan in July. ‘Caesars possesses complete great deal of debt. We think it is workable, but others disagree.