Eldorado Resorts, Inc. Acquires Caesars Entertainment Corporation
|Deal Type||Debt Capital Markets|
Senior Secured Credit Facilities
|Client & Transactional Partners||
Eldorado Resorts, Inc.
Caesars Entertainment Corporation
Eldorado is a geographically diversified gaming company that operates 19 gaming properties in 11 states. Eldorado’s primary source of revenue is its gaming operations, and it utilizes its hotels, restaurants, bars, entertainment, racing, and retail shops to attract customers to its properties.
Caesars was originally founded as Harrah’s in 1937, a Reno-based gaming company known for its founder’s relationships with his customers and employees. Caesars’ casinos and resorts primarily operate under the Caesars, Harrah’s and Horseshoe brand names.
On July 20, 2020, KeyBanc Capital Markets (“KBCM") successfully closed the syndication of $2.8 billion Senior Secured Credit Facilities (the “Credit Facilities”) and the issuance of $6.2 billion of Notes (the “Notes”) in connection with the acquisition of Caesars Entertainment Corporation (“Caesars”) by Eldorado Resorts, Inc (“Eldorado”). The Credit Facilities are comprised of a $1.0 billion Eldorado Senior Secured Revolver and a $1.8 billion Caesars Senior Secured Term Loan B. The Notes are comprised of $3.4 billion of Eldorado Senior Secured Notes, $1.0 billion of Caesars Senior Secured Notes, and $1.8 billion of Eldorado Senior Unsecured Notes. The syndication of Credit Facilities and issuance of Notes successfully terminated KBCM’s underwrite that was committed to in July 2019. Proceeds from the transaction will be used to fund the equity consideration, repay existing debt, fund an intercompany loan, make a distribution to Caesars, and pay transaction-related fees and expenses. KBCM served as Syndication Agent on the Credit Facilities and as Co-Manager on the Notes.