According to reports, Casino Operator Boyd Gaming is very close to acquiring Vegas only casino operator Cannery Casino Resorts. The owners of Cannery casino, including Oaktree Capital an investment company, have been reportedly been seeking buyers for their investment.
Boyd gaming has 22 different casinos in the United States and Six in the Las Vegas Area.
Reuters’ sources claimed the sale of Cannery’s two remaining properties could cost Boyd between $225m and $240m. None of the parties involved in the alleged negotiations offered any comment on the rumors, but the sources claimed a finalized deal could be announced within weeks.
One of the reasons that Oaktree and Crown Resorts are trying to get rid of Cannery after a very strange buying process which included agreeing to buy the entire company for $1.75 Billion in 2007. Instead of buying the entire company after the financial crash, they opted to buy only 25% of the company for $320 million.
Crown Resorts is in need of the money, as they are behind the Alon project across from Wynn. However, they were most recently fined $362 million for back taxes by the Australian government.
This has made a lot of people in Vegas nervous that the Alon casino project may never actually get off the ground and be indefinitely postponed or canceled. Crown Resorts getting this cash influx may help calm the nerves of some.
Oaktree is not very happy with casinos in Las Vegas, and according to insiders, doesn’t want to be involved in that part of the industry anymore as they consider themselves victims of the Caesars Bankruptcy.
