Steven McCann, Crown Resorts CEO, said the company could lease its casinos if regulators suspend its gaming licences.<\/p>\n\n\n\n\n\n\n\n
Australia.- While the Royal Commissions examining Crown’s suitability to hold gaming licences continues, the company is preparing for all the possible scenarios. Now Steven McCann, Crown Resorts CEO, has said that the company could lease its casinos<\/strong>.<\/p>\n\n\n\n According to The Sydney Morning Herald, McCann said: “Clearly\u00a0we have to anticipate a range of scenarios<\/strong>\u00a0and be flexible enough to respond to the scenarios that are presented.”<\/p>\n\n\n\n A few weeks ago, McCann said: \u201cWe will consider all options to maximise shareholder value in the context of however the regulatory environment plays out.\u00a0Crown has three of the best integrated resorts in the world<\/strong>. I\u2019m sure there will be people looking with interest at how things play out.\u201d<\/p>\n\n\n\n The\u00a0Western Australian Royal Commission<\/a>\u00a0into\u00a0Crown Perth will continue until March 2022<\/strong>, but the gaming regulator may call on Racing and Gaming Minister Reece Whitby to cancel Crown\u2019s licence before the end of the inquiry.<\/p>\n\n\n\n Victoria\u2019s Royal Commission into\u00a0Crown Resorts will continue until October 15<\/a>\u00a0after the government approved judge Raymond Finkelstein\u2019s request for an extension.<\/p>\n\n\n\n In the meantime, Macquarie Analysts said the\u00a0current market value of the Crown<\/strong>\u00a0is considered to be at AU$4.8bn to AU$5.2bn, down almost 30 per cent since early May.<\/p>\n\n\n\n In May, Crown rejected an offer from Blackstone<\/a> to acquire the casino operator. The company had upped its original bid from AU$11.85 cash per share to AU$12.35<\/strong>. <\/p>\n\n\n\n Star Entertainment<\/a> also made an offer of AU$12bn<\/strong> (US$9.4bn)<\/strong> for the casino operator. However, the company withdrew it<\/a> following suggestions that the operator should lose its casino licence<\/a> for Crown Melbourne.<\/p>\n\n\n\n According to Bekier, if Crown is finally forced to break up, Star will consider buying the operator\u2019s venue in Sydney.<\/p>\n\n\n\n According to media reports, Bekier said: \u201cWe have to have greater clarity about what we would actually be buying, then we can form a view of how much it\u2019s worth.\u201d<\/p>\n\n\n\n The Star CEO<\/a>\u00a0had said the fusion would\u00a0deliver between AU$150m to AU$200m of cost synergies\u00a0<\/strong>per annum with an\u00a0estimated net value of AU$2bn\u00a0<\/strong>but admitted it depends on the results of the royal commissions.<\/p>\n\n\n\n Crown Resorts’ revenue for 2021 was down 31 per cent<\/strong>\u00a0year-on-year to AU$1.5bn (US$1.1bn).\u00a0Reported EBITDA was down 77 per cent<\/strong>\u00a0to AU$114.1m. Crown reported an NPAT loss of AU$261.6m.<\/p>\n\n\n\n The company attributed the losses to the Covid-19 restrictions<\/a> and multiple countermeasures ordered by the government as well as the temporary closures of Crown Melbourne<\/a> and Crown Perth.<\/p>\n\n\n\n Jane Halton<\/strong>, Crown\u2019s interim Chairman, said: \u201c2021 has been a challenging year for Crown, with intense regulatory scrutiny and unprecedented impacts on business operations from the Covid-19 pandemic.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":" Steven McCann, Crown Resorts CEO, said the company could lease its casinos if regulators suspend its gaming licences.<\/p>\n","protected":false},"author":176,"featured_media":19861,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"is_press_release":false,"is_interview":false,"is_opinion":false,"focusai_summary":"Crown Resorts' CEO, Steven McCann, indicates the company may lease its casino assets if regulatory bodies suspend its gaming licences, amidst ongoing Royal Commissions in Western Australia and Victoria. This strategic consideration follows rejected acquisition bids from Blackstone and Star Entertainment, with Star's CEO still interested in potential asset purchases if Crown is forced to divest. The company reported a significant revenue decline and NPAT loss for FY21, exacerbated by regulatory scrutiny and COVID-19 impacts.","focusai_entities":"Steven McCann, Crown Resorts, The Sydney Morning Herald, Macquarie Analysts, Blackstone, Star Entertainment, Matt Bekier, Jane Halton, Racing and Gaming Minister Reece Whitby, Judge Raymond Finkelstein","focusai_location":"Australia, Western Australia, Victoria, Sydney, Melbourne, Perth","focusai_target_profile":"ceo_executive (1.0), regulator (1.0), compliance_legal (0.9), operator_casino (0.9), investor_analyst (1.0), supplier_vendor (0.7), journalist_researcher (1.0)","focusai_suggestions":[{"label":"Regulatory Impact on Valuation","query":"How would a partial or full suspension of Crown Resorts' gaming licences impact its enterprise valuation and the viability of potential M&A transactions, considering the current market offers?"},{"label":"Asset Leasing Feasibility","query":"What are the regulatory and operational complexities involved in Crown Resorts leasing its integrated resort assets, particularly concerning B2B\/B2C licensing requirements and ongoing compliance obligations for a lessee?"}],"footnotes":""},"categories":[16336,157,158],"tags":[14657,23907],"class_list":["post-22333","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-australasia-news","category-business-news","category-slider-home","tag-crown-resorts","tag-land-based-casino"],"_links":{"self":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/22333","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/users\/176"}],"replies":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/comments?post=22333"}],"version-history":[{"count":3,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/22333\/revisions"}],"predecessor-version":[{"id":22372,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/22333\/revisions\/22372"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media\/19861"}],"wp:attachment":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media?parent=22333"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/categories?post=22333"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/tags?post=22333"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Star CEO<\/strong> Matt Bekier still interested in merger<\/strong><\/h2>\n\n\n\n
Crown\u2019s revenue down 31 per cent in the fiscal year 2021<\/h2>\n\n\n\n