From CNBC: 2024-04-02 08:03:34

Bally’s Corporation faces existential battle as the historic Tropicana in Las Vegas closes. Shareholders advocate for a return to core casino business, fearing market undervaluation due to failed high-risk projects. Proposed $15 per share privatization bid under scrutiny as company stock declines almost 30% in the past year.

Asset management fund K&F Growth Capital suggests Bally’s focus on regional casinos and digital gaming, divesting from unprofitable ventures. Proposed strategies include partnering for Chicago casino, divesting Tropicana operations, and focusing solely on digital casino business. Shareholders highlight past mistakes and urge company to refocus on its strengths.

Bally’s has not been able to compete in any sector other than regional casinos, despite its legacy brand. Shareholders argue for strategic divestment and focus on digital casino business, emphasizing the need to cut costs and prioritize profitable ventures. Bally’s market cap sits at just over half a billion dollars, prompting calls for restructuring to maximize value.



Read more at CNBC: Bally’s shareholders wage battle over ownership, development projects