Bally’s Corporation Enters Into Merger Agreement With Affiliates of Standard General L.P.

The Special Committee of Bally’s Board of Directors has unanimously recommended the transaction, which is valued at approximately $4.6 billion in enterprise value. Stockholders can opt to receive the cash consideration or retain their investment in Bally’s through a rollover election, continuing as stockholders in the combined entity.

The merger will see Bally’s combined with The Queen Casino & Entertainment Inc. (QC&E), a regional casino operator also majority-owned by Standard General. This merger will expand Bally’s presence to 19 gaming and hospitality facilities across 11 U.S. states. QC&E currently operates four casinos and is undergoing redevelopment projects expected to complete in 2025.

Jaymin Patel, Chairman of Bally’s Special Committee, expressed confidence in the merger, stating it delivers immediate value to stockholders. Bally’s CEO, Robeson Reeves, highlighted the strategic growth and geographic diversification the merger will bring, while Soo Kim, Managing Partner of Standard General, noted the significant cash premium and growth prospects for Bally’s stockholders.

The transaction, supported by Sinclair Broadcast Group, Inc. and Noel Hayden, is subject to regulatory approvals and is expected to close in the first half of 2025. Bally’s regular second-quarter results announcement is anticipated by July 31, 2024.

Advisors for the Merger:

Special Committee: Macquarie Capital (financial advisor), Sullivan & Cromwell LLP, Potter Anderson & Corroon LLP (legal counsel)
Bally’s: Nixon Peabody LLP (legal counsel)
QC&E: Citizens JMP Securities, LLC (financial advisor), Fried, Frank, Harris, Shriver & Jacobson LLP, Richards, Layton & Finger, PA (legal counsel)

This merger marks a significant milestone in Bally’s growth strategy, promising substantial value and development for its stockholders and the combined company.