Nevada approves Eldorado-Caesars merger
The regulator has approved Eldorado’s US$17.3 billion acquisition of Caesars which will make it one of the largest US gaming companies.
US.- Nevada regulators have approved Eldorado Resort’s US$17.3 billion acquisition of Caesars Entertainment.
The agreement, which is likely to make Eldorado the US’s largest regional gaming company, has been approved by the Federal Trade Commission and endorsed by both the Nevada Gaming Control Board and Gaming Commission.
It is still pending the approval from two other regulators, the Indiana Gaming Commission and the New Jersey Casino Control Commission.
After the deal, Eldorado could eclipse MGM Resorts International as the largest US casino company, with a total of 60 casinos and resorts in 16 states, as it adds Caesars’ 53 venues worldwide to its own 21 properties in 11 states.
According to local press, the Nevada Gaming Control Board spent about three hours questioning executives from both companies about financial aspects of the deal, the structure of the company after the merger, business synergies and diversity initiatives.
Both companies reported a decline in profits in the first quarter of 2020 due to the shutdown of casinos because of the Covid-19 pandemic. While Caesars saw a 13.6 per cent fall, Eldorado’s net revenue dropped 25.6 per cent.
