Wynn Resorts is in Open Discussions with Crown Resorts for a Possible Takeover
Wynn Resorts is in open discussions with Crown Resorts for a possible takeover of the Australian operator. Crowned confirmed that an open offer has been put on the table. The proposed offer is worth $14.75 a share with this amount valuing Crown Resorts at $7.15 billion. If agreed, the acquisition would be complete with 50% in cash and 50% in shares, however the there’s nothing finalized yet as discussions are still taking place.
Crown said there are several conditions the deal is subject to including due diligence with Wynn Resorts gaining the necessary approval from regulator’s and also receiving the necessary recommendation from the Crown Board. Neither companies are going into great detail of how far into the agreement or discussions they are. Wynn said they won’t comment any further unless they are required to do so because they don’t want to jeopardize the possible acquisition.
Crown seen a big decrease with its online revenues after the sale of CrownBet to William Hill last year. Their total revenue for Q4 2018 was down by 65.6%. Crown Resorts’ normalized revenues was down by 1.2% for year-on-year figures, but its main floor revenues were up by 0.9%.