Eldorado, Caesars merger a step closer

Caesars Windsor June 29, 2015. (Photo by Adelle Loiselle)

After announcing plans to merge with Eldorado Resorts Inc. a year ago, Caesars Entertainment said it has the Federal Trade Commission’s approval to move ahead.

That does not mean the merger is guaranteed just yet, but it is a significant hurdle.

The plan still needs to meet closing conditions, including approvals from the Nevada Gaming Control Board, Nevada Gaming Commission, New Jersey Casino Control Commission, the Indiana Gaming Commission, and the Indiana Horse Racing Commission.

Caesars Entertainment also operates Caesars Windsor.

“We are pleased that the FTC’s approval of our planned merger with Eldorado paves the way for securing the remaining consents and approvals from regulators in Indiana, Nevada, and New Jersey,” said Caesars Entertainment CEO Tony Rodio. “All of us at Caesars are committed to completing the merger, which is expected to create the largest U.S. gaming company.”

The total value of the merger was estimated at $17.3 billion last June.

Under the terms announced a year ago, the new company will keep the Caesars brand, and shareholders will hold 49 per cent stake, while Eldorado shareholders own 51 per cent.

Eldorado would assume Caesars’ outstanding net debt.

A spokesman with the Ontario Lottery and Gaming Corporation said last year the merger is not expected to impact day to day operations at Caesars Windsor.