Crown Resorts board has recommended shareholders accept a $13.10 a share binding offer from US private equity firm Blackstone.
The Crown board, helmed by former Telstra chairman Ziggy Switkowski, signed a deal on Monday morning after weeks of negotiations between Blackstone and the James Packer backed group.
The offer values Crown at close to $10 billion, including debt.
Mr Packer, who owns a 37 per cent stake in the gambling empire, has not yet indicated if he will support the takeover.
Crown told investors on Monday morning the takeover scheme represents a premium of 32 per cent to the closing price of Crown shares on 18 November 2021 of $9.90 per share. That was the last trading day prior to Crown receiving an acquisition proposal from Blackstone at a price of $12.50 cash per share.
Mr Switkowski said the all-cash offer “provides shareholders with certainty of value.”
“The Crown Board and management have made good progress in addressing a number of significant challenges and issues emerging from the COVID-19 pandemic and various regulatory processes,” he said.
“Nevertheless, uncertainty remains and having regard to those circumstances and the underlying value of Crown we believe the Blackstone Transaction represents an attractive outcome for shareholders.”
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