In Nevada and prominent casino operators Eldorado Resorts Incorporated and Caesars Entertainment Corporation have announced that their shareholders have approved the $17.3 billion deal that is to see the pair merge.
The two companies used a joint Friday press release to detail that the envisioned agreement to create the largest casino firm in the United States was sanctioned via separate stakeholder meetings held at their respective corporate headquarters in Reno and Las Vegas and is now expected to be completed before the end of June.
As currently accepted, the planned amalgamation is to see Eldorado Resorts Incorporated hand over some $7.2 billion in cash as well as approximately 77 million common shares in order to assume a majority stake in Caesars Entertainment Corporation. The two declared that the completion of the envisioned merger ‘remains subject to the receipt of all required regulatory approvals and other closing conditions’ and will also involve the combined entity retaining the Caesars brand name.
The pair moreover revealed that some 87% of investors in Eldorado had voted to approve the projected alliance, which was first floated in June, while no less than 76% of those with shares in Caesars Entertainment Corporation had consented.
Eldorado is responsible for 26 gaming venues across the United States including the Tropicana Atlantic City and the Circus Circus Reno and is to furthermore assume all of its larger rival’s outstanding debt following the completion of the planned merger. With a portfolio of approximately 50 properties such as Bally’s Las Vegas, Caesars Palace Las Vegas and Harrah’s Las Vegas, Caesars Entertainment Corporation is already one of the world’s major casino players but has witnessed a steady decline in the value of its shares due in large part to weakening consumer demand and mounting liabilities.
Read the press release…
“Eldorado Resorts Incorporated and Caesars Entertainment Corporation stockholders also approved each of the other matters on their respective meeting agendas including the Eldorado Resorts Incorporated stockholders’ approval of the reincorporation of Eldorado Resorts Incorporated from Nevada to Delaware subject to and promptly following the consummation of the merger.”