Caesars Agrees the $516M Sale of Las Vegas' Rio All-Suite Hotel and Casino

Rio All-Suite Hotel and Casino – the Caesars Entertainment casino property in Las Vegas – is due to be sold for $516.3 million.

The venue that got famous for hosting the World Series of Poker since 2005 will be acquired for the said sum by real estate investment firm Imperial Companies. The deal will be finalized in the final quarter of the year.

The Venue With Plenty of History

However, even after the selling of this facility is completed…

…Caesars will be in charge of the venue for next two years minimum and will have to pay a rent of $45 million per year. After the two-year period expires, Caesars may continue operating Rio or they’ll hand out services of transition to the company that buys it, because they will be looking for a new operator.

Rio All-Suite Hotel and Casino is quite a historic building because it is Las Vegas’ first-ever all-suite resort. It has a vast area of gaming space where World Series of Poker was hosted for the last 14 years and will continue to be hosted next year. Caesars Entertainment will keep holding the rights to host these tournaments.

CEO of Caesars, Tony Rodio, comments:

“This deal allows Caesars Entertainment to focus our resources on strengthening our attractive portfolio of recently renovated Strip properties and is expected to result in incremental EBITDA at those properties. The retention of the World Series of Poker and retention of Caesars Rewards customers are all factors that make this a valuable transaction for Caesars.”

The Merger That is a Game-Changer

This summer saw the most Earth-shattering of casino brands mergers in recent history…

…when Eldorado Resorts purchased Caesars Entertainment for $17.3 billion. In August, Caesars provided further updates on this event along with their Q2 financial report.

Revealing that the brand has performed well across some crucial business segments and with revenue climbing, it was also disclosed that the acquisition was agreed unanimously by boards of both companies’ directors.

On the occasion, Rodio also said that “as the company works toward successful completion of the proposed merger with Eldorado Resorts, the management team and I remain focused on improving the company’s operations and financial profile through incremental revenue opportunities and operating efficiencies.“

He added that he is confident that the proposed transaction will create an industry leading platform poised to succeed in this dynamic industry.

A Big Responsible Gambling Milestone and a Charity

Caesars recently held a big celebration in honor of the 30th anniversary of their responsible gambling programme…

…during which they have pledged to donate $1 million to various charities through National Center for Responsible Gambling.

It was in 1989 that Caesars formed their first responsible gambling programme that looked to provide meaningful solutions for problem gambling.

Since then, this brand has been continuously investing in both the technology and education of their staff . In 1999 they even debuted the self-exclusion scheme which, in those days, was quite revolutionary for the entire industry.

The event was attended by numerous figures from multiple US jurisdictions who commended Caesars’ efforts in this field.

Source:

“Caesars sells Rio Casino, retains WSOP”, igbnorthamerica.com, September 23, 2019.