The Indiana Legislature in 2015 enacted a law that would allow racinos to add table games in 2021. If table games are installed, the effective purchase price would be less than 7 times by that time, he said. The price represents an implied multiple of 8.3 times Centaur’s earnings before interest, taxes, depreciation, amortization and rent costs in year two following the closing of the deal, inclusive of expected synergies, Frissora said in the statement. The company has about $2 billion of cash on its balance sheet, according to Union Gaming analyst John Decree. Caesars did not disclose how the deal would be financed. “We anticipate that the deployment of Total Rewards will bring substantial benefits to current Centaur customers, and the implementation of our centralized supply chain and efficient operating model will drive synergies,” Frissora said in a statement.Ĭaesars will pay $1.63 billion upfront and $75 million in deferred compensation. Centaur customers would be able to spend their points acquired in Indianapolis during a trip to Caesars’ properties in Las Vegas. The company’s last major acquisition was the purchase of Planet Hollywood in Las Vegas for $700 million in 2009.Ĭhief Executive Officer Mark Frissora is aiming to create value through acquisitions by leveraging Caesars’ supply chain and Total Rewards loyalty program, which has 50 million participants.Ĭentaur properties receive 6.5 million visitors a year and have 1.1 million loyalty members. filed for bankruptcy in January 2015 and emerged from bankruptcy a month ago.

The deal marks the re-emergence of Caesars, which has been sidelined for years as its operating unit battled insolvency caused by a debt-driven expansion strategy and an economic downturn.Ĭaesars Entertainment Operating Co. The race tracks both feature 2,000 slots and own entertainment and dining facilities. The deal is expected to close in the first half of 2018.Ĭaesars will acquire Hoosier Park Racing and Casino in Anderson, Indiana, as well as the Indiana Grand Racing and Casino in Shelbyville, Indiana, the company said in a statement. has agreed to buy Indianapolis-based horse racing company Centaur Holdings LLC for $1.7 billion in the largest acquisition in the U.S. (Chase Stevens/Las Vegas Review-Journal) Entertainment Corp. The exterior of Caesars Palace on the Las Vegas strip.

Indiana grand racing and casino bus