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Caesars Rumored to Be Sold – Rio Rumored to Be Demolished

This has been a monster week for rumors surrounding Caesars Entertainment and the home of the World Series of Poker. According to a report by the NY Post, Caesars Entertainment is about to go up for sale, possibly as soon as next week.

Meanwhile, rumors surrounding the sale of the Rio are once again swirling. This time, the casino is reportedly up for sale and is scheduled to be demolished.

NY Post Reports Caesars Sale

According to an article released by the NY Post on Wednesday, Caesars Entertainment is going to be up for sale in the near future, possibly as soon as next week. The report claims that an announcement is imminent that the board has approved a sale. This sale stems from pressure applied by billionaire investor Carl Icahn, who presently holds three seats on the board.

Caesars has now given permission to two companies to look over their financial records, which is a precursor to a sale for many companies. Previously, the company had approved Eldorado Resorts to look at their records. Eldorado owns the Tropicana in Atlantic City. Recently, the company approved access for billionaire Tilman Fertita to conduct his due diligence. Fertita presently owns the Houston Rockets and made an offer for the company back in November.

Caesars comes with a heavy debt load of $18 billion, but is only valued at about $5.6 million. Carl Icahn became a 10% investor in the company back in February but soon became a primary shareholder, amassing a 28.5 percent stake in the company. He presently has three board seats and may be able to pick up a fourth if the company does not appoint a new CEO by Monday, April 15.

Either potential buyer is qualified to run Caesars. Fertita oversees five Golden Nugget casinos across the country, including the one in Las Vegas. Eldorado Resorts has 26 casino properties, including Circus Circus in Las Vegas.

Rio Sale Rumors Reignite – Virgin Trains Potential Buyer

Soon after the announcement by the New York Post, Vital Vegas fueled the rumor flames a bit more by claiming that the Rio is up for sale and will soon be demolished.

Source: The @RioVegas is in the process of being sold and will soon be demolished.

— Las Vegas Locally 🌴 (@LasVegasLocally) April 11, 2019

They later doubled down on the rumor, stating that Virgin Trains, the company working on the SoCal-to-Vegas high-speed rail project, is the potential buyer. The blog later told CardChats that the sale may actually be completed in the next couple of weeks.

Rumors of a sale of the Rio is nothing new, but coupled with the news from the NY Post, they may have a bit more weight this time. After all, Caesars is looking to she debt and expenses and getting rid of the Rio would do that plus generate some capital for the company.

Of course, if either rumor proves true, this could be the last World Series of Poker to be held at the Rio in Las Vegas. The event has been running exclusively at the Rio since 2005. Reports have claimed that the event would be eventually moving to the new Caesars Event Center in Las Vegas, but a move may come sooner rather than later. If they move early, will they move to Caesars Palace or another property?

One also has to wonder what will happen to the World Series of Poker as a brand if Caesars is sold as reported. Will the new company continue running the series or will they sell the brand off to another casino company. Regardless, the next few weeks could prove historic in the history of both one of the largest casino companies in the world and the largest live tournament series in poker.

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