Crown Resorts in play as US fund circles

Gaming giant Crown Resorts is being targeted for a takeover after a US investment fund made an unsolicited offer.

The non-binding offer received on Sunday proposes an offer price of $11.85 cash per share, equating to about $8 billion.

Crown shares closed at $9.86 on Friday, valuing the group at $6.7 billion.

The offer represents a premium of 19 per cent to Crown’s weighted average share price in the weeks since it released its first-half results.

“The Crown board has not yet formed a view on the merits of the proposal,” it said in a statement.

Blackstone’s indicative offer carries a number of conditions, including that it be recommended unanimously by the Crown board.

It also wants regulatory confirmation a future Blackstone-owned Crown is deemed a suitable person to hold the target’s Sydney casino gaming licence.

Blackstone already holds 9.99 per cent of Crown, which it bought from Melco Resorts & Entertainment in April last year for $8.15 per share.

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