Crown resorts has announced an agreement to sell its stake in CrownBet, as part of the company’s ongoing debt reduction strategy.
The Australian gaming and entertainment group is to recoup AU$150m for its 62% interest in CrownBet, together with loans advanced by it to CrownBet.
In a statement released to the Australian Securities Exchange (ASX), it was detailed that a consortium of shareholders, led by current Chief Executive Officer Matthew Tripp, are behind the purchase.
Crown also stated that ‘completion of the transaction is scheduled to occur on or before the end of February 2018 subject to the purchaser arranging satisfactory financing.’
This announcement comes after it was detailed that both William Hill and Paddy Power were in discussions for the firms CrownBet stake.
A number of divestments have recently been announced by Crown, after it dropped its long running objections to a merger between Tabcorp Holdings and Tatts Group.
Plans to build a casino in Las Vegas have been shelved, with a 34.6 acre plot of land sold to Wynn Resorts for US$300m, which is set to be completed by the close of this month.
In addition, the sale of two floors of its Sydney residencies, in the Crown Sydney Hotel Resort, to businessman James Packer was also agreed in principle for AU$60m.
It was also detailed that a stake in Caesars Entertainment Corporation is intended to be sold, with Crown valuing its shares at US$54m.