Casino Illustration (Pixabay Photo)
James Packer’s scandal-ridden “Crown Resort” casino chain was acquired by Blackstone, a $ 6.3 billion private equity giant that already controls ten percent of the company. Crown’s controlling shareholders will receive A $ 13.1 in exchange for a share, with Crown shares soaring after the company’s acquisition.
In a report by the Reuters website, CEO of White Funds Management, which owns shares in Crown, said it was one of the first steps in resolving the many regulatory concerns. The move actually gives Packer an option to exit his casino.
More in-
This is a business that James Packer entered after inheriting one of the oldest and best-known media outlets in Australia started by his grandfather Frank, the influence of the media monster was strengthened under James’ father, Kerry, who died in 2005.
James Packer sold the media business and founded Crown but within ten years, his bet turned out to be not so successful and the casino ran into business difficulties. The company got entangled after Pak pushed for expansion on the island of Macau, Las Vegas and of course Australia but then 19 company employees were jailed in China because they marketed gambling, which is prohibited by law. Packer in response chose to take a step back and left the Crown Board of Directors and the private investment house CPH.
Packer was still the majority controlling shareholder with 37% of the company owned and his vote was the missing vote to reach 75% of the shareholders’ approvals.
This is something that is a bit encouraging for the Crown Resort, the company’s difficult period includes problems at the casino in Melbourne, an inability to run the casino in Sydney and a suspended license at the casino that is worth $ 2.2 billion.
Comments on the article(0):
Your response has been received and will be published subject to system policies.
Thanks.
For a new response
Your response was not sent due to a communication problem, please try again.
Return to comment