Blackstone's Crown Resorts Takeover Approved by Australian Court -- Update
By Stuart Condie
Blackstone Inc.'s US$6.07 billion takeover of Australia's Crown
Resorts Ltd. was approved by the country's Federal Court, clearing
its final regulatory hurdle.
Casino operator Crown said Wednesday that it expects to lodge
the court's orders with Australia's securities regulator by the end
of the day. Its ASX-listed shares will be suspended at Wednesday's
close of trade, it added.
The U.S. private-equity giant agreed in February to pay 13.10
Australian dollars (US$9.00) a share in cash for Crown. The stock
was last up 0.15% at A$13.07.
Blackstone will add Crown to its real-estate assets in Australia
and gambling businesses in other countries. It first offered to buy
Crown in 2021 for A$11.85 a share and raised its offer a number of
Last week, casino regulators in the three Australian states in
which Crown operates approved the takeover.
Crown said it expects that the takeover will be implemented on
The takeover ends Crown's long association with billionaire
James Packer, who controls almost 37% of Crown shares via his
investment company, Consolidated Press Holdings Pty. Ltd.
Crown has regularly been mired in controversy since 2016, when
its employees were arrested in China for gambling-related crimes.
The company wound back its international ambitions, though it has
been the subject of regulatory inquiries over its domestic
The opening of Crown's new Sydney casino in 2020 was delayed
after an inquiry in the state of New South Wales found that company
bank accounts were used to launder money, and that it improperly
worked with so-called junket operators in Asia to bring in
A separate inquiry in Victoria state found that Crown engaged in
illegal and dishonest behavior. The investigating commission said
in 2021 that closing the casino in Melbourne's downtown would have
negative economic effects and recommended a suite of changes
including additional oversight and regular reports to
Write to Stuart Condie at email@example.com
(END) Dow Jones Newswires
June 14, 2022 23:47 ET (03:47 GMT)
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