Ballys Incorporated has gotten an unrequested acquisition proposal from Standard General, a hedge fund based in New York, priced at $38 for each share. This proposition esteems the casino enterprise at more than $2 billion.
Although a transaction is not assured, Bally’s has assembled a specialized group of autonomous board members to examine the proposition and investigate alternative prospective strategic avenues.
Standard General is already Bally’s biggest stakeholder, possessing over 20% of the company. Notably, Soo Kim, Bally’s present Chairman, also holds the positions of managing partner and chief investment officer at Standard General.
Kim conveyed assurance in their capability to finalize the agreement swiftly, referencing their extensive past with Bally’s and profound comprehension of the industry. He mentioned that the purchase would be funded through a sale-and-leaseback arrangement and other financing agreements with extended terms.
Standard General emphasized today that an agreement is contingent upon approval from their Special Committee.
Kim aimed to alleviate concerns, conveying a message along the lines of, “Even if this endeavor falters – if the Committee declines or the investors reject it – our partnership with the company remains unaffected. We are committed for the long term.”
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