Horizon owner selling some of its other properties
The Tropicana Entertainment LLC subsidiary of Northern Kentucky-based Columbia Sussex plans to sell its Casino Aztar in Evansville, Ind., as part of the fallout from the denial of its Atlantic City license this month.
In addition to the Indiana facility, the company is selling the Tropicana in Atlantic City and already has signed a contract to sell the Horizon Casino Hotel, a riverboat casino it owns in Vicksburg, Miss.
The Horizon Casino Resort in Stateline is not being sold, a public-relations official for Tropicana Entertainment LLC told the Tahoe Daily Tribune.
Word of the sales came as the company made a crucial interest payment on its credit agreement. It also said it was working on reaching an agreement with its lenders that would prevent it from filing for bankruptcy.
The sale of the Atlantic City property became necessary after New Jersey regulators last week denied a new license to the Tropicana. The state’s Casino Control Commission ruled that Crestview Hills-based Columbia Sussex was incapable of operating the kind of “first-class facility” required under state law.
A half-dozen potential suitors already have expressed interest in buying the facility, which includes New Jersey’s largest hotel at 2,129 rooms. A sale could be completed within weeks, officials said.
The Tropicana will continue to operate regardless of who owns it.
The sale of Casino Aztar was approved to raise enough money to pay off outstanding Columbia Sussex debt.
The sale of all three properties is “expected to be sufficient to pay Tropicana’s outstanding senior debt,” the company said in a prepared statement. “Any remaining proceeds will be reinvested in the company’s business.”
Casino Aztar has 1,200 slot machines and 50 table games. Horizon Casino Hotel has 750 slot and video poker machines.
The Vicksburg casino already is under contract to Nevada Gold & Casinos.
– Tribune staff writer Sara Thompson contributed to this report.