It was announced that the deal between Dan Gilbert’s Rock Gaming and the bankrupt Caesars Entertainment unit has been inked. Both sides reached an agreement, which means that Rock Gaming is to acquire a 20% stake in the Horseshoe Casino.
People familiar with the matter reassured the communities that regardless of the fact that the deal was completed, everything would remain the same. In other words, the Horseshoe casinos, located in Cincinnati and Cleveland as well as the ThistleDown racino will be managed by the subsidiaries of Caesars.
The venues will continue operating with normal business hours. They will not be excluded from the Total Rewards network neither.
The Chief Executive of Rock Gaming, Matthew Cullen, said that guests will not have any troubles related to redeeming or earning Total Rewards. Plus, they will keep their additional benefits and tier status.
As for the properties located in Ohio, they were not included in the bankruptcy affairs since Rock Gaming holds the majority of stakes.
Although details about the deal have not been publicly revealed, one thing is for sure. Caesars will not be among the minority owners of the casinos situated in Cleveland, Cincinnati and Florence.
Mr. Cullen was reached for a comment and said that despite the complicated situation, company’s executives will stay committed to providing excellent gambling experience and ensure the great customer service their guests are used to.
It is a well-known fact that the majority stake of the Horseshoe casinos based in Cincinnati and Cleveland are managed by Rock Gaming. The company used to hold an 80% stake and now, when the deal is closed, it is the sole owner of the properties.
Speaking of the Horseshoe Casino Cincinnati, it can take pride in being a pretty profitable venue. During last year, it generated the mind blowing revenue of $197.6 million. What makes its accomplishment even more impressive is the fact that the profit it generated was higher than the revenue of Hollywood Casino Lawrenceburg, which has been the indisputable leader on the local gambling market for a pretty long time.
Back in January, Caesars Entertainment Operating Co. filed for Chapter 11 protection.
In point of fact, market analysts expected this to happen since Caesars has been trying to overcome serious financial issues for several years but at the end of the day, it failed in dealing with the overwhelming debt.
