Reports: Lake Tahoe casino owners Eldorado Resorts, Caesars to announce deal
Reno-based Eldorado Resorts Inc is reportedly purchasing Caesars Entertainment Corp — a deal that could potentially put three of the four major Stateline casinos under the same ownership.
The $18-billion deal is expected to be announced Monday, according to a report by the news organization Reuters, which broke the story Sunday. Bloomberg News also reported the deal shortly after the first report.
If confirmed, the deal could consolidate ownership of three major casinos on Lake Tahoe’s South Shore — Harrah’s, Harveys and MontBleu Resort Casino and Spa.
Eldorado acquired MontBleu in 2018 in a larger, $1.85-billion deal to purchase assets owned by Tropicana Entertainment.
Both Harrah’s and Harveys are owned by Caesars.
That could leave Hard Rock Hotel and Casino as the only one of the big four casinos owned by a different company.
Per Reuters, the deal values Caesars around $13 a share, with ownership of the merged companies split between Eldorado and Caesars shareholders.
As the Bloomberg report noted, the two companies have been heading in divergent trajectories, with Caesars recently completing bankruptcy while Eldorado has expanded.
The deal reportedly includes Eldorado taking on Caesar’s debt.
Eldorado has grown from a single casino opened in Reno in 1973 to a notable player in the industry with 26 properties in 12 states, according to its website.
Caesars bills itself as “the world’s most geographically diversified casino-entertainment company,” according to its website. It operates resorts and casinos, which include the Caesars and Harrah’s brands, on three continents.