Nevada Gaming Regulators Give Caesars Go-Ahead on Post-Bankruptcy Plan
The GCB ( Nevada Gaming Control Board ) gave the green light for the Caesars Entertainment’s corporate plans to restructure after emerging from bankruptcy. CEOC ( Caesars Entertainment Operating Company ), one of the largest operating subsidiaries of the mother company Caesar Entertainment, had filed for bankruptcy in late January 2015.
Caesars Entertainment then separated her profitable assets from those that were performing poorly. Some of the properties that were included in the company’s Chapter 11 bankruptcy include Caesar’s Palace in Harveys, Las Vegas, Harray’s and Harrah’s Reno in Lake Tahoe.
When explaining the gaming company’s future, the Chief Executive Officer, one Mark Frissora pledged to create more employment opportunities and spur economic prosperity in the Silver State as part and parcel of the deal. The Caesars chief also highlighted that corporation plans to expand not just in Las Vegas but also across the entire Nevada State.
At the moment, Caesars is still under bankruptcy protection but has made extensive plans to rise from this fall. But as the law requires, the company needs solid approval from the Nevada gaming regulators to restructure its portfolio of the various gaming properties that it owns to remain in the legal compliance with the existing licensing requirements.
That being said, the corporation has outlined some their plans in one exhaustive and detailed 839-page statement. Going by this, Caesars separates and consolidates its entire real estate assets in a single trust which will be controlled by their creditors. Apparently, they owe their creditors a capital overlay in the tune of billions. At the same time, it is expected that Caesars will retain the ownership of all its gaming proceeds and operations bar from the clause that states plans to lease floor space from a newly formed REIT ( Real Estate Investment Trust ).
Now, with the Nevada Gaming Control Board solid support, it’s expected that the Stately Gaming Commission will sign off the final post bankruptcy approval at their next monthly meeting. If anything, it would help to bear in mind that the state regulators in Pennsylvania, New Jersey, Maryland, Illinois, and Iowa have already endorsed Caesar’s restructuring post bankruptcy plan.
Some of the properties that were blanketed by the CEOC Chapter 11 bankruptcy plan included some resources meant to upgrade their resorts. Now, with the bankruptcy period almost over, there’s no doubt this will soon change. And as the MGM CEO Jim Murren told journalists and reporters a while back in June, the company is now ready to make investments in as far as in Atlantic City.