Harrah's Shelves $531 Million IPO

Harrah’s Entertainment Inc., the world’s biggest casino operator, terminated its $531 million initial public offering, the first private equity-backed company to pull its U.S. IPO in six months.
Harrah’s, taken private by Apollo Global Management LLC and TPG Capital in a leveraged buyout in 2008, canceled its sale because of “market conditions,” according to the Las Vegas- based company’s statement today. The postponement was the first from a private equity-backed company since Americold Realty Trust, owned by billionaire Ron Burkle’s Yucaipa Cos., shelved its offering in May, data compiled by Bloomberg and Greenwich, Connecticut-based Renaissance Capital LLC showed.

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Harrah's files with SEC for initial public offering

Harrah's Entertainment said this morning it is planning an initial public offering in order to raise at least $500 million for several development projects, including the completion of a hotel tower at Caesars Palace.
In documents filed with U.S. Securities and Exchange Commission, Harrah's said it would sell an unspecified amount of shares "to fund a near-term pipeline of growth projects and for general corporate purposes."

The Las Vegas-based company said the money would be used to build LINQ, a retail, dining and entertainment area between the Imperial Palace and the Flamingo, and complete the Octavius tower at Caesars Palace, which has 660 hotel rooms. Harrah's said completion of the Caesars tower will cost $85 million.

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Harrah's urges court to approve $12.17m Baha Mar payment

US gaming giant Harrah's Entertainment has filed a motion in the New York State Supreme Court for a September 14 hearing to approve the payment of $12.174 million in legal costs to it by Baha Mar, warning that if the Cable Beach developer opposes this it will seek to also gain the $116,492 it was denied.

James Kearney, an attorney with Latham & Watkins, in an affidavit filed with the New York courts earlier this week, affirmed that Harrah's and its Caesars Bahamas subsidiary were moving to recover the legal costs they had allegedly incurred in defending themselves against breach of contract and other claims made over the two parties' failed $2.6 billion joint venture to redevelop Cable Beach.

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Harrah’s Said to Seek Offers for Rio Las Vegas Casino

April 23 (Bloomberg) -- Harrah’s Entertainment Inc., the casino company owned by Apollo Management LP and TPG Inc., is seeking bids for the Rio All-Suite Hotel & Casino in Las Vegas, people with knowledge of the situation said.


Starwood Capital Group LLC and Colony Capital LLC are among the companies that are weighing bids for the resort, said the people, who declined to be identified because the talks are private. Some bids value the Rio at about $500 million, two of the people said.

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Harrah’s Debt Rallies to Highest Level Since Apollo, TPG Buyout

April 12 (Bloomberg) -- Harrah’s Entertainment Inc. bonds are trading at the highest level since the world’s largest casino operator was purchased in a leveraged buyout in January 2008 as a two-year slump in Las Vegas gambling eases.


Harrah’s $311.3 million of 5.625 percent, 10-year notes issued in 2005 have risen almost 13 times since February 2009 to 68 cents on the dollar, according to Trace, the bond-price reporting system of the Financial Industry Regulatory Authority.

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Harrah’s debt gamble

About a year ago, investors were so convinced that Harrah’s Entertainment would file for bankruptcy protection that the company’s bonds — its promises to pay back billions of dollars — traded for 10 cents on the dollar.

Since then, the world’s largest gaming company — one of the country’s biggest buyout targets during the real estate bubble — has surprised naysayers by carving out a foothold of three years during which it can afford to make interest payments on its debt. The hope is that by 2013, its earnings will be high again. They will need to be because that year a $6 billion debt payment will be due. Another $9 billion in debt, by analysts’ estimates, comes due between 2015 and 2019.

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Bahamas - Baha Mar's Harrah's claim is 'meritless'

A New York judge has delivered a seeming knock-out blow to Baha Mar's legal action against Harrah's Entertainment over their collapsed $2.6 billion Cable Beach joint venture, dismissing the developer's breach of contract, fraud and negligent misrepresentation claims, and branding as "meritless" a key part of its case against the gaming giant.

Judge Charles Ramos, sitting in the New York State Supreme Court, ruled that Harrah's and its Caesars Bahamas Investment Corporation subsidiary "validly exercised their right to terminate" the joint venture agreement with Baha Mar, and that the latter "has no obligation to consummate" the deal to redevelop the Cable Beach strip.

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Judge to Harrah’s: Turn over records on high roller’s intoxication claims

A Clark County District Court ruled today that Harrah's Entertainment must turn over records to attorneys representing a high roller who allegedly owes $14.7 million in gambling debts.

Terrance Watanabe alleges Harrah’s Entertainment not only kept him drunk but provided him drugs to induce his massive gambling losses.

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Harrah's to manage Planet Hollywood in Las Vegas

LAS VEGAS (AP) -- Harrah's Entertainment is taking over management of hotel operations at the Planet Hollywood casino-resort in Las Vegas as it negotiates with lenders to buy the property.

The privately held casino operator said Friday that it would start managing the hotel at midnight on Saturday.

Planet Hollywood has 2,500 rooms and manages another 1,200 units, including vacation homes and regular hotel rooms, in an expansion tower that opened this month.

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Harrah’s uses resort fees to take swing at competitors

Struggling under a mammoth debt burden in penny-pinching times, Strip casino giant Harrah's Entertainment is taking the offensive with a press release informing consumers that none of the company's Las Vegas hotels charge so-called mandatory resort fees.

The release also takes a broad swipe at the competition, including the many Las Vegas hotels that charge such fees.

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Harrah's steps closer to hotel deal

Harrah's Entertainment has taken another step forward in its plan to buy Planet Hollywood Resort, a plan the resort's current owner called a "perfect marriage."

The gaming giant has filed applications with Nevada gaming regulators seeking approval to acquire the niche property, the state Gaming Control Board confirmed Monday.

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Harrah’s Entertainment Reports Results for 2009 Third Quarter, First Nine Months

• Revenues decline 13.7 percent from 2008 third quarter
• Third-Quarter Property EBITDA declines 12.2 percent
• Impairment charge on intangible assets impacts results

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Harrah's Buys Planet Hollywood Debt

Harrah's Entertainment Inc. bought $140 million of the debt tied to the Planet Hollywood Resort & Casino in Las Vegas, giving Harrah's a role in the fate of the struggling property.
Harrah's purchase of the debt from Goldman Sachs Mortgage Co., a unit of Goldman Sachs Group Inc., came last week, just a day before the casino defaulted on its $860 million mortgage by failing to make its monthly interest payment, according to people familiar with the matter. The mortgage's servicer, KeyCorp, sent the casino's owners a default notice Thursday, these people say

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FONTAINEBLEAU: Casino groups express interest in troubled project

MGM, Harrah’s casinos among those suing ex-Illinois governor

Harrah’s Entertainment Reports 2009 First-Quarter Results

Revenues decline 13.3 percent from 2008 first quarter
First-Quarter Property EBITDA declines 13.7 percent from prior year
Harrah’s Operating Company exchange offer reduces debt, lowers interest expense