Latest news with #SooKim
Yahoo
29-05-2025
- Business
- Yahoo
NYC Council delays vote to advance Bally's casino at former Trump golf course in the Bronx
City Council has given a Bronx cheer to a proposed Bally's casino, for now. The Council, headed by Speaker and mayoral candidate Adrienne Adams, refused Wednesday to allow a vote to advance legislation that would allow gaming operator Bally's to convert part of the former President Trump Golf Course property into a casino. Bally's acquired the golf course at Ferry Point from the Trump Organization in 2023, and it's now called Bally's Golf Links at Ferry Point. As part of the deal, Bally's agreed to provide the Trump Organization an additional $115 million — if it wins a casino license. Bally's Chairman Soo Kim complained that a 'whisper campaign' by lobbyists from rival bidders is trying to whip up anti-Trump sentiment among lawmakers to scuttle his casino bid. 'They're saying, 'If Bally's wins, Trump benefits.' That's crazy,' Kim told The Post. He said the Bronx and the whole city will benefit, noting the Bally's proposal has laid out more than $600 million in community benefits as well as jobs and millions of dollars in economic activity and tax revenues. Bally's hopes to build a 500,000-square-foot casino on the Bronx site by its golf course, along with a 500-room hotel with a spa and meeting space, retail shops, a 2,000-seat event center and two parking garages with capacity for up to 4,660 vehicles. Kim also ripped the Council for 'moving the goalposts' by not voting on the matter Wednesday. 'If we don't get a vote in the City Council, we can't advance our bid.' The Bronx and the entire city, Kim said, would be losers. But Council sources, who requested anonymity, shot back that Bally's has been slow-footed in lobbying members to woo support for their project and lacks the necessary votes at this time to bring the measure to a vote. Time is of the essence. Bally's needs the state legislature to approve a bill to repurpose the parkland property for use as a casino. But first, the City Council must give the OK for Albany to proceed via a 'home rule' message. The bids to apply for one of three state casino licenses are due June 27. The state legislature's 2025 session in Albany ends in mid-June, and the Council is expected to meet once more on June 11. The Council provided such a 'home rule' approval for the legislature to approve a law allowing Mets billionaire owner Steve Cohen to repurpose lots around Citi Field to advance his casino bid in partnership with Hard Rock. The state Senate and Assembly recently approved the land use bill for Cohen. Council sources said while some members have raised concerns about Trump benefiting from a Bally's casino license, it is not the overriding factor in discussions regarding the legislation. A rep for Council Speaker Adams and the Council leadership said the Bally's proposal is still being considered, and there's no concerted plot to kill it. 'We're still working on home rule messages for state legislation. The process hasn't been completed for this legislative session,' said Council spokesman Mandela Jones. Brooklyn Councilman Lincoln Restler, who chairs the governmental operations committee that oversees state legislation, said Bally's will get 'another bite at the apple' to get the proposal passed in the coming weeks. Bronx Republican Councilwoman Kristy Marmorato, who represents the neighborhoods around Ferry Point, is opposed to the project, sources said. She declined to comment. But Democrats in the Bronx delegation want to roll the dice and are working to muster the vote to pass the Bally's proposals, a Bronx source said. Another Council source claimed Bally's doesn't yet have the support to pass the home rule bill. 'We don't put bills on the floor without the votes,' the insider said. State Sen. Nathalia Fernandez (D-Bronx), who is pushing the Bally's legislation in Albany if she gets the go-ahead from the City Council, said the gaming company's agreement to pay the Trump Organization extra for a casino license was the price paid 'to get him [Trump] out of The Bronx.' 'So while I hate it, I don't want him to get anything on it, it was part of the business deal just to get his name out of the situation, get him out of the golf course and out of the Bronx,' Fernandez said.
Yahoo
14-05-2025
- Business
- Yahoo
Bally's Chicago gets green light from Gaming Board to resume construction
The Illinois Gaming Board has given Bally's Chicago the green light to resume building its permanent casino after a two-week stop work order over an unauthorized waste hauler at the River West site. Construction is expected to start up again Thursday on the planned $1.7 billion casino complex at the former Tribune printing plant site, with a refined vendor vetting process in place, the Rhode Island-based casino company said. 'We were informed today by IGB that construction on the Bally's site will begin on Thursday, May 15th,' Bally's Chairman Soo Kim said in a statement Wednesday. 'We appreciate the collaboration and support of IGB throughout this process and look forward to delivering this project to Chicago.' Work ground to a halt May 1 after the Gaming Board discovered that the construction project was using an unauthorized subcontracted waste hauler previously alleged to have had ties to organized crime. D&P Construction, a Melrose Park company that provided dumpsters used at the 30-acre site, was hired by the Chicago Community Builders Collective, a minority-led general contracting partnership constructing the permanent casino complex. The dumpsters were removed May 2, and following an investigation, the Gaming Board said Wednesday that Bally's Chicago agreed to full vendor disclosure, satisfying the agency's concerns enough to move forward with construction. 'Presently, no vendors are working on the casino construction project without IGB approval,' the Gaming Board said in a statement. 'Bally's addressed the disclosure failures. It has disclosed, and assured the ongoing disclosure of, all proposed vendors to the IGB.' In 2005, D&P's alleged ties to organized crime were among the factors cited in a Gaming Board investigation that led to the license revocation of the proposed Emerald Casino in Rosemont, where the construction firm did work at the planned casino site. The license went instead to Rivers Casino Des Plaines, which launched in 2011 and grew to be the state's top-grossing casino. D&P's involvement in the Bally's Chicago site cost the casino company two weeks of construction time, but not the license to build what will be the largest casino in the state on the sprawling industrial site along the Chicago River. In May 2022, Rhode Island-based Bally's was selected to build the Chicago casino, besting finalists Rivers Casino and Hard Rock with a proposal that includes an exhibition hall, a 500-room hotel, a 3,000-seat theater, 10 restaurants and 4,000 gaming positions. Demolition of the Freedom Center printing plant was completed earlier this year. In February, Bally's began driving foundational caissons into the ground, with executives targeting a September 2026 opening for the permanent casino. Bally's, which has been operating a temporary casino at Medinah Temple since September 2023, was ranked fifth among the state's 16 full casinos with $11 million in adjusted gross receipts last month, according to data from the Gaming Board. Rivers Casino Des Plaines was once again the state's top casino in April with $43.9 million in adjusted gross receipts, followed by newcomer Wind Creek Chicago Southland, which hit a new high with $17.1 million in revenue, according to Gaming Board data. Wind Creek, owned by the Poarch Band of Creek Indians, launched in its permanent 70,000 square foot casino in south suburban East Hazel Crest in November. Last month, it opened a 255-room hotel. rchannick@
Chicago Tribune
14-05-2025
- Business
- Chicago Tribune
Bally's Chicago gets green light from Gaming Board to resume construction
The Illinois Gaming Board has given Bally's Chicago the green light to resume building its permanent casino after a two-week stop work order over an unauthorized waste hauler at the River West site. Construction is expected to start up again Thursday on the planned $1.7 billion casino complex at the former Tribune printing plant site, with a refined vendor vetting process in place, the Rhode Island-based casino company said. 'We were informed today by IGB that construction on the Bally's site will begin on Thursday, May 15th,' Bally's Chairman Soo Kim said in a statement Wednesday. 'We appreciate the collaboration and support of IGB throughout this process and look forward to delivering this project to Chicago.' Work ground to a halt May 1 after the Gaming Board discovered that the construction project was using an unauthorized subcontracted waste hauler previously alleged to have had ties to organized crime. D&P Construction, a Melrose Park company that provided dumpsters used at the site, was hired by the Chicago Community Builders Collective, a minority-led general contracting partnership constructing the permanent casino complex. The dumpsters were removed May 2, and following an investigation, the Gaming Board said Wednesday that Bally's Chicago agreed to full vendor disclosure, satisfied the agency's concerns enough to move forward with construction. 'Presently, no vendors are working on the casino construction project without IGB approval,' the Gaming Board said in a statement. 'Bally's addressed the disclosure failures. It has disclosed, and assured the ongoing disclosure of, all proposed vendors to the IGB.' In 2005, D&P's alleged ties to organized crime were among the factors cited in a Gaming Board investigation that led to the license revocation of the proposed Emerald Casino in Rosemont, where the construction firm did work at the planned casino site. The license went instead to Rivers Casino Des Plaines, which launched in 2011 and grew to be the state's top-grossing casino. D&P's involvement in the Bally's Chicago site cost the casino company two weeks of construction time, but not the license to build what will be the largest casino in the state on a 30-acre site along the Chicago River. In May 2022, Rhode Island-based Bally's was selected to build the Chicago casino, besting finalists Rivers Casino and Hard Rock with a proposal that includes an exhibition hall, a 500-room hotel, a 3,000-seat theater, 10 restaurants and 4,000 gaming positions. Demolition of the Freedom Center printing plant was completed earlier this year. In February, Bally's began driving foundational caissons into the ground, with executives targeting a September 2026 opening for the permanent casino. Bally's, which has been operating a temporary casino at Medinah Temple since September 2023, was ranked fifth among the state's 16 full casinos with $11 million in adjusted gross receipts last month, according to data from the Gaming Board. Rivers Casino Des Plaines was once again the state's top casino in April with $43.9 million in adjusted gross receipts, followed by newcomer Wind Creek Chicago Southland, which hit a new high with $17.1 million in revenue, according to Gaming Board data. Wind Creek, owned by the Poarch Band of Creek Indians, launched in its permanent 70,000 square foot casino in south suburban East Hazel Crest in November. Last month, it opened a 255-room hotel. rchannick@
Associated Press
07-04-2025
- Business
- Associated Press
Bally's Corporation enters into a binding agreement with The Star for AUD 300 Million Strategic Capital Investment via Convertible Notes and Subordinated Debt
PROVIDENCE, R.I., April 7, 2025 /PRNewswire/ -- Bally's Corporation (NYSE: BALY) ('Bally's' or the 'Company') today announced that it has entered into a binding term sheet with The Star Entertainment Group Limited (ASX: SGR) ('The Star') comprising a multi-tranche issuance of subordinated convertible notes and subordinated debt (together the 'Notes') with an aggregate principal value of AUD $300 million (approximately USD $187 million1) (the 'Transaction'). The Star is an ASX-listed, leading Australian entertainment and gaming company, operating casino and resort properties in Sydney, Brisbane and the Gold Coast. The Star employs approximately 8,000 team members while also supporting downstream employment and other opportunities in the communities in which it operates. Bally's will invest in and partner with The Star and bring a proven track record of revitalising underperforming casino businesses. Bally's will continue to work collaboratively with regulators and stakeholders to support a successful turnaround of The Star. Strategically, the Transaction is intended to preserve The Star's long-term potential, with Bally's committed to leveraging its operational expertise to deliver a more resilient and sustainable business for all stakeholders. Soo Kim, Chairman of Bally's, said 'This transaction provides Bally's the opportunity to infuse The Star with what it needs to regain its position as Australia's preeminent gaming destination. And it allows The Star shareholders to share in what we confidently believe will be a brighter future together.' George Papanier, President of Bally's adds, 'We are excited to bring our reputation and operating expertise to a wonderful set of properties that operate in fantastic markets. We are up for the challenge.' Upon conversion of the Notes, Bally's would own up to ~56.7% of the fully diluted share capital of The Star assuming it subscribes for 100% of the Notes, noting that The Star's major shareholder, Investment Holdings Pty Ltd (which is controlled by the Mathieson family), may separately subscribe for a portion of the Notes, which would reduce Bally's' commitment by an equal amount. The issue and conversion of certain tranches of Notes is subject to shareholder and regulatory approvals. The Star expects to hold a shareholder meeting in the coming months. In the interim a Bally's representative will join The Star board as an observer. Upon conversion of the Notes, additional and/or replacement directors will be appointed to ensure majority Board representation, subject to regulatory approvals. Transaction Details Under the binding term sheet executed on 6 April 2025, Bally's will invest AUD 300,000,000 (approximately USD $187 million1) through a combination of subordinated convertible notes and subordinated debt, in two tranches (refer below). The Notes are convertible into shares such that Bally's will own approximately 56.7% of The Star's fully diluted share capital post-conversion, Tranche 1 Notes: Tranche 1A: Convertible into shares representing 9.71% of The Star's pre-issue capital AUD $22.3m (approximately USD $13.9m1) Tranche 1B: Convertible into shares representing 4.85% of The Star's pre-issue capital AUD $11.1m (approximately USD $6.9m1) Tranche 1C Subordinated Debt: Subordinated non-convertible debt Subordinated Debt of AUD $66.6m (approximately USD $41.5m1). This amount may be increased in certain circumstances, including if regulatory approvals related to the issuance and conversion of the Tranche 2 Notes are not obtained within specified periods. Tranche 2 Notes: Convertible into shares representing 50.3% of The Star's pre-issue capital AUD $266.6m (approximately USD $166.2m1) with the principal amount of the Trance 1C Subordinated Debt being applied to reduce the amount payable by Bally's on the issue of the Tranche 2 Notes. The conversion price is fixed at AUD 0.08 per share, with customary anti-dilution protections. The Notes mature on 2 July 2029, with automatic redemption of principal, accrued interest, and any outstanding payment-in-kind ('PIK') liability if not converted. Interest rate of 9.0% per annum, payable quarterly. Funding Details and Approvals Bally's has available funds to support the Transaction. The issuance and conversion of certain tranches of Notes is subject to receipt of shareholder approval, regulatory approvals, execution of long-form transaction documents and certain consents. The binding term sheet is attached to this release. Advisors MA Moelis Australia and Ord Minnett Limited acted as Joint Financial Advisors to Bally's with Kirkland & Ellis LLP and MinterEllison acting as joint legal counsel, and Senet as Australian regulatory counsel. About The Star The Star Entertainment Group Limited (ASX: SGR) is an ASX-listed, leading Australian entertainment and gaming company, operating casino and resort properties in Sydney, Brisbane, and the Gold Coast. The Star employs approximately 8,000 team members while also supporting downstream employment and other opportunities in the communities in which it operates. Millions of guests are welcomed into The Star's properties every year where unique and memorable experiences are delivered. The Star is committed to optimising its properties, supporting its communities and capitalising on the opportunities presented by its world-class locations across Australia. The Star is focused on delivering premium tourism, hospitality, and gaming experiences and is actively progressing a strategic transformation to restore its regulatory standing and financial stability. About Bally's Bally's Corporation (NYSE: BALY) is a global casino-entertainment company with a growing omni-channel presence. Bally's owns and operates 19 casinos across 11 states, along with a golf course in New York and a horse racetrack in Colorado, and holds OSB licenses in 13 jurisdictions in North America. The acquisition of Aspers Casino in Newcastle, UK, expands its international reach. It also owns Bally Bet, a fírst-in-class sports betting platform, Bally Casino, a growing iCasino platform, Bally's Interactive International division (formerly Gamesys Group), a leading global interactive gaming operator, and a significant economic stake in Intralot S.A. (ATSE: INLOT), a global lottery management and services business. With 11,500 employees, its casino operations include approximately 17,700 slot machines, 630 table games, and 3,950 hotel rooms. Bally's also has rights to developable land in Las Vegas at the site of the former Tropicana Las Vegas. Cautionary Note Regarding Forward-Looking Statements This press release contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements in this communication include, but are not limited to, statements regarding the Transaction and statements regarding the future prospects of the Company following the completion of the Transaction. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. As a result, these statements are not guarantees of future performance and actual events may differ materially from those expressed in or suggested by the forward-looking statements. Any forward-looking statement made by the Company in this press release, its reports filed with the SEC and other public statements made from time-to-time speak only as of the date made. New risks and uncertainties come up from time to time, and it is impossible for the Company to predict or identify all such events or how they may affect it. The Company has no obligation, and does not intend, to update any forward-looking statements after the date hereof, except as required by federal securities laws. Factors that could cause these differences include, but are not limited to those included in the Company's Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and other reports and proxy materials filed by the Company with the SEC. These statements constitute the Company's cautionary statements under the Private Securities Litigation Reform Act of 1995.
Chicago Tribune
28-02-2025
- Business
- Chicago Tribune
Bally's Chicago $250 million IPO stalled at SEC; casino refunding deposits of potential minority investors
In a setback to its fundraising efforts and inclusive equity obligations to the city, the $250 million Bally's Chicago initial public offering for minority investors failed to close as planned in February after it stalled at the Securities and Exchange Commission. Despite generating interest from thousands of minority applicants who opened and funded accounts to buy shares in the city's first casino, the SEC did not declare the IPO registration effective before the prospectus financials became outdated and 'went stale,' essentially shutting it down, the company said. The casino is refunding those initial deposits and will go back to the drawing board to recruit women and minority participants for an updated offering, Bally's Chairman Soo Kim told the Tribune. 'It was disappointing for the SEC to not respond,' Kim said Thursday. 'We're going to come back. We're going to update our financials and resubmit, but we don't know why they didn't respond the first time, and they may not respond the second time.' An SEC spokesperson said in an email Friday the federal agency does not comment on individual company filings. Bally's Chicago opened the initial public offering last month with an investor road show and dedicated website for women and minorities to buy a 25% equity stake in the casino, looking to fulfill a minority ownership commitment to the city and raise funds for the construction of its proposed $1.7 billion entertainment complex in River West. In May 2022, Rhode Island-based Bally's was selected to build the Chicago casino, besting finalists Rivers Casino and Hard Rock with a proposal that includes an exhibition hall, a 500-room hotel, a 3,000-seat theater, 10 restaurants and 4,000 gaming positions. As part of the winning bid, the city required an equity component of at least 25% minority investment in the proposed casino. The $250 million IPO featured four classes of stock ranging from $250 to $25,000 per share, enabling 'underrepresented communities' to become investors. Qualified minorities applied online through Jan. 31, opening and funding accounts to participate in the offering. The IPO was expected to close Feb. 7. Bally's Chicago filed an amended registration with the SEC on Feb. 12, but the IPO closing date passed without garnering the needed regulatory sign-off on the final prospectus. Chicago-based Loop Capital Markets served as the lead placement agent for the IPO, which was limited to Blacks, Asian Americans, Hispanics and other 'socially disadvantaged' people as defined by city guidelines. A spokesperson for Loop Capital Markets did not respond to a request for comment on the stalled offering. Despite the IPO's failure to launch, Bally's still has a contractual obligation with the city to incorporate a 25% minority ownership stake into the Chicago casino, either through a rebooted offering or other investment vehicle. 'We want to have this community investment program offered to the everyday investors, the everyday Chicagoan,' Kim said. A city spokesperson did not immediately respond to a request for comment Friday. In addition to the regulatory issues at the SEC, the Bally's Chicago IPO is also navigating a federal lawsuit alleging the casino and the city discriminated against white men by limiting the offer to women and minorities. Earlier this month, a Chicago federal judge denied a motion for an injunction to halt the IPO, but the lawsuit is ongoing. Bally's, which has been operating out of a temporary casino at Medinah Temple since September 2023, is building its permanent facility at the 30-acre site of the former Chicago Tribune plant. The construction project has not been without its own challenges. Demolition had been delayed for nearly a month after a Dec. 14 mishap spilled construction debris into the adjacent Chicago River. Last month, the city gave Bally's the green light to resume razing the remaining vestiges of the Freedom Center. Bally's began driving foundational caissons into the ground in February, with the permanent casino targeted for a September 2026 opening, the company said. Last year, Bally's had to relocate its planned hotel tower, which was shifted from north of the casino to the south after it was determined that the caissons might damage municipal water pipes along the river. The city approved the new site plan Jan. 23. Originally Published:
