No word if Harrahs’ stockholders will receive player points for junk bond purchases. Assuming rumors of the banks trying to sweeten the deal are untrue, Harrah’s stockholders will be cashing at the cage for $90 per share. Apollo Global Management and TPG have scheduled the leveraged buyout closing date for January 28, 2008. The 27.8 billion price tag will include Harrah’s 10 billion debt. It’s policy for Casinos to stay in debt on paper, right?
Hopefully, we’ll have some geographical answers on the World Series of Poker’s future. We know the Rio will host in 2008, therefore, consistent rumors of a Caesars Palace relocation remains just that…a rumor. Suits have favored the Rio location for the freestanding user-friendly structure with an enormous, steaming-hot parking lot. It’s also easy access for the Chippendale Dancers. However, we don’t know if Apollo and TPG will even keep the WSOP or sell it to another entity (Venetian?).
Don’t hold your breath, with a downtrend in yield, the DOW and the bottoming of the high-risk loans it may be time Vegas offers up some odds for a possible postponement on the buyout.
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