Two state regulators nod Blackstone-Crown deal

Jun 09, 2022 Newsdesk Latest News, Top of the deck, World  

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Australian casino operator Crown Resorts Ltd said in a Thursday filing it had been informed that two out of the three involved Australian state regulators had already signed off on the firm’s AUD8.9-billion (US$6.39-billion at current exchange rates) proposed acquisition by Blackstone Inc.

The Victorian Gambling and Casino Control Commission (VGCCC), that oversees Crown Melbourne (pictured), and the New South Wales Independent Gaming and Liquor Authority (ILGA), that oversees Crown Sydney, have both approved the so-called scheme of arrangement.

That exercise will eventually enable SS Silver II Pty Ltd, an entity owned by funds managed or advised by Blackstone and its affiliates, to take control of Crown Resorts. Blackstone is one of the world’s largest asset management groups.

“The scheme remains subject to the receipt of gaming regulatory approval in Western Australia, the approval of the Federal Court of Australia at the final court hearing in relation to the scheme, and other customary conditions precedent,” said Thursday’s filing.

The Western Australia regulator, the Gaming and Wagering Commission, oversees Crown Perth.

“As the gaming regulatory approval in Western Australian remains outstanding, the date for the final court hearing has not yet been fixed. Crown will announce the date via the Australian Securities Exchange announcements platform once it is known,” said Crown Resorts’ Thursday filing to that bourse.

Crown Resorts’ shareholders had approved the deal in mid-May.

At the end of May, it had been announced that the Victorian regulator had imposed a fine of AUD80-million on Crown Melbourne, over what it described as “illegal conduct” by the venue’s operator relating to China UnionPay card transactions.

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