ERI - Eldorado Must Sell Several Casinos to Win FTC Approval for Its Caesars Deal
Eldorado Resorts (NASDAQ: ERI) received a directive this morning from the Federal Trade Commission (FTC) on several casino properties it must divest to obtain regulatory approval for its planned acquisition of Caesars Entertainment (NASDAQ: CZR). The government agency identified several locations, saying it believes the deal "likely would be anticompetitive in those markets," and specifies the divestitures it requires for the merger to move ahead.
The FTC ruling states Eldorado must sell two of its casinos to Twin River Worldwide Holdings (NYSE: TRWH), a relatively small gambling company with a market cap of $656 million (Eldorado's is $4 billion). The two casinos are the Montbleu Resort Casino and Spa in the South Lake Tahoe area and the Eldorado Casino Resort in the vicinity of Bossier City-Shreveport.
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