- Eldorado Resorts look to offload more Caesars Entertainment venues after the $17.3 billion deal is finalized this year
- The $17.3 billion deal announced last year looks to create the largest casino operator in the US
- The deal, according to Eldorado’s CEO, Mr. Tom Reeg, is set to secure cost savings of $500 million-plus
- Colosseum at Caesars Palace and Caesars Forum among the entertainment venues reportedly on the verge of sale
- Eldorado Resorts, Caesars Entertainment, and Las Vegas Sands have not confirmed the sale reports as yet
Eldorado Resorts, according to reports, are looking to offload some of the entertainment venues owned by Caesars in Las Vegas. This is set to happen soon after the $17.3 billion deal is finalized.
The $17.3 billion deal was announced June last year and would see Reno-based Eldorado take over Caesars Entertainment to create what would be the largest casino operator in the US.
Speaking on the deal last year, Eldorado’s CEO, Mr. Tom Reeg, said that the executives of the two companies were evaluating options that would help secure cost savings of $500 million-plus from the deal. He is poised to be the head of the combined entity.
Colosseum and Caesars Forum to be sold?
Among the Caesars properties set to be sold by Eldorado, according to a Bloomberg report, includes the Colosseum at Caesars Palace.
Reports also suggest that Las Vegas Sands is looking at the option of acquiring Caesars Forum from its rival operator. The $300 million-valued Forum is a 550,000 sq. ft. center for meeting and conferencing and is set to open its doors this spring near LINQ, Caesar’s Flamingo, and Harrah’s properties on the Strip.
The reports, however, have not been confirmed by either Eldorado Resorts, Caesars Entertainment or Las Vegas Sands.
In a bid to secure cash for growth plans and regulatory clearance, the two companies (Eldorado and Caesars) have sold properties in some of the states since they announced the deal. During the last fall, Caesars sold its Rio All-Suite Hotel and Casino property.
More approvals loading
This past week also saw the Mississippi Gaming Commission approving the merger. This is the latest regulatory body to give a green light to the merger with the past two months seeing others from different states doing the same.
Other regulators who have approved the merger include; Louisiana Gaming Control Board, Iowa Racing and Gaming Commission, Illinois Gaming Board, Louisiana Racing Commission, Pennsylvania State Horse Racing Commission, and the Missouri regulators.
Twin River Worldwide Holdings successfully acquired Lady Luck Casino in Vicksburg, Mississippi, from Eldorado Resorts shortly after announcing the merger deal with Caesars. This left two gambling venues in Mississippi operated by the Reno-based company. Magnolia State also houses two Caesars casinos; Harrah’s Gulf Coast and Horseshoe Tunica.
The two operators (Eldorado and Caesars) will have to get approval from all the 17 states they plan to operate in once the deal is finalized. Additionally, the companies will also seek approval from the Federal Trade Commission.