Blackstone Found Suitable for Sydney, Melbourne Casino Licenses

Ticking another box

Blackstone Group is moving ever closer to taking over Crown Resorts after the Victoria and New South Wales (NSW) regulators deemed the private equity firm suitable for a casino license. It means that Blackstone can own and operate the Crown Sydney and Crown Melbourne casinos upon completion of the acquisition.

subject to a wide-ranging probity assessment

US-based Blackstone was subject to a wide-ranging probity assessment by NSW Independent Liquor & Gaming. According to the regulator’s chairperson Philip Crawford: “The probity assessment has also resulted in certain persons being approved to become “close associates” of Crown Sydney.”

As well as meeting the probity standards, Blackstone also demonstrated that it would fully implement the recommendations that came from the Bergin Inquiry. This is the inquiry that initially deemed Crown unfit for a Sydney casino license last year.

Wide-ranging issues

Last year, an independent investigation into Crown Resorts found the company unsuitable for a Sydney casino license due to links to organized crime and money laundering.

has still not opened its gaming floor

The commissioner of the inquiry, Patricia Bergin, outlined significant changes that Crown Resorts would have to make to its corporate governance structure and culture before it could regain a Sydney license. The AU$2.2bn (US$1.6bn) Crown Sydney casino resort has still not opened its gaming floor as a result of the complications. It has opened its restaurants and hotel, however.

Crown Melbourne also has curtailments as a result of failings, including mandated government supervision. The Victorian Gambling and Casino Control Commission has found Blackstone suitable to operate the casino, just a few weeks after issuing a record AU$80m (US$57m) fine to Crown. The financial penalty relates to the Melbourne venue’s money laundering failures and the breaking of Chinese currency control laws.

Getting the deal over the line

Blackstone is still waiting to hear from the Western Australian gaming regulator before the AU$8.9bn (US$6.4bn) Crown Resorts takeover can proceed. Once this happens and there is approval for the deal from the Federal Court, Blackstone will then take Crown private, meaning it will no longer have a listing on the Australian Stock Exchange. Crown Resorts shareholders have already given their approval to the transaction.

This is not Blackstone’s first foray into the gambling space. It already owns a number of hotels and casinos in Las Vegas, such as the Bellagio, Mandalay Bay, and MGM Grand. It has also expressed an interest in Latin American, Italian, and Spanish casinos.

As part of the deal, Crown Resorts founder and billionaire James Packer will no longer serve as a shareholder. He is set to receive AU$3.26bn (US$2.3bn) in return for his 37% stake in the company.

The post Blackstone Found Suitable for Sydney, Melbourne Casino Licenses appeared first on VegasSlotsOnline News.

Casino Provider
Using cutting-edge innovation, data and a never-ending drive to push forward, Ezugi is the partner you need for the best live casino experience.
Play’n GO is an award-winning supplier of high quality gaming content to many of the world’s leading casino brands. Their genuine omni-channel solution can be tailored to suit the needs of individual online and land-based partners, regardless of geographical, regulatory, or market-specific requirements.
Microgaming games are an absolute must for a successful online casino. The provider is the inventor of online slots and progressive jackpots, it has over 20 years of experience on the market, and it has the widest product portfolio. By integrating Microgaming you will attract players with any preferences.
Allbet is an online sportsbook also offering baccarat, blackjack, esports, live dealer games, live/in-play betting, other games, roulette, scratch cards, video poker, and virtual sports using 1X2 Network, BetGames, Betsoft Gaming, Kiron, and Playson software It is owned by Allbet Sports Betting (Pty) Ltd. The site's primary language is English. A download is not required to place a wager.
Gold Deluxe is an Asian-facing developer of live dealer games established in 2011. The company is based in Philippines and currently employs more than 100 individuals. They’ve made their portfolio available at many of the leading gaming sites in Asia, and while still focused on Asian markets, the provider is also starting to deploy their products in other parts of the world.