New Owners of Harrahs Entertainment
Written by Maria T | Wednesday, December 20th, 2006
Harrah’s Entertainment was bought out by Texas Pacific Group and Apollo Management for $16.7 billion.
The total is said to be more like approximately $28 billion with the debt included. Shareholders of the stock will earn $90 per share for the buyout.
The CEO of Harrah’s has said this was a change in ownership but not a change in Harrah’s as a whole.
Harrah’s is the largest casino company. This leveraged buyout is suspected to be one of the biggest of its kind not just in the casino market.
According to the Associated Press the new owners of Harrah’s will redevelop both properties in Las Vegas and Atlantic City .
Others who were making the bid for Harrah’s were Penn National Gaming. Their bids topped out at $87 per share.
Some analysts are saying this purchase could be caused by the speculation of online gambling becoming legal in the down the road. If this does occur Harrah’s would undoubtedly become one of the first and largest land based casino accepting US players.
Poker players are interested to see what kind of changes this will make for the World Series of Poker in 2008. The deal is expected to go through within 9-12 months.
Both this and the Unlawful Internet Gambling Act are expected to cause big changes for the event and its field size.
News Source:CP Staff
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· Written by Maria T · Filed Under Poker News · Comments Off
