(Yahoo! News) Australian gaming group Crown Resorts has agreed to a takeover bid by Blackstone for A$8.9 billion or US$6.3 billion.
Crown Chairman Ziggy Switkowski says the Blackstone offer is attractive to shareholders. He says the latest deal is 10% higher than Blackstone’s initial offer, which the gaming group had rejected.
The deal happens even as Crown faces regulatory scrutiny over criminal involvements. The company’s flagship casino in Sydney is still suspended at least a year after its scheduled opening.
In Melbourne, Crown’s casino has been told to operate under the supervision of a state-appointed manager for two years.
Blackstone’s deal gives Crown’s high-profile billionaire James Packer an exit plan from the troubled gaming group. Packer has cut the stake in the company to around 37%.
CWN: ASX is up +2.02%.
